Oil prices plummeted and stock markets rallied Wednesday after the United States and Iran agreed to a two-week ceasefire. Iran will temporarily reopen the vital Strait of Hormuz.
This de-escalation follows weeks of crisis that have impacted the global economy. Equities soared in Seoul, Tokyo, Taipei, Sydney, and Hong Kong. Gold and Bitcoin also saw gains.
Analysts noted market participants were eager for positive news and concrete steps toward de-escalation. Lower oil prices are expected to ease inflationary pressures and benefit energy-importing Asian economies.