Oil prices plunge 15% to below $100, stocks surge and dollar slumps after Trump announces US-Iran ceasefire – business live

Oil prices plunged 15% to below $100 and gas prices slid 20% following an announced US-Iran ceasefire, leading to a surge in stocks and a slump in the dollar. Government bond yields also fell sharply as expectations for rate hikes receded. However, Mohit Kumar, chief European economist at Jefferies, warned that oil prices are not expected to return to pre-war levels soon, with energy supply taking months to normalize. He viewed Iran's 10-point proposal positively as a basis for negotiations, driven by Trump's desire for a deal, but noted contentious elements like the absence of a nuclear deal and unacceptable proposed fees. Kumar anticipates Iran will continue its efforts to acquire nuclear weapons as a deterrent, necessitating a geopolitical risk premium across asset classes, indicating ongoing market uncertainty despite the ceasefire.