Global Markets Soar, Oil Prices Drop Following US-Iran Deal on Strait of Hormuz
World financial markets experienced a significant surge, while oil prices took a nosedive on June 15–16, 2026. This dramatic shift was a result of an interim agreement between Washington and Tehran to reopen the Strait of Hormuz—a major global shipping chokepoint that accounts for approximately 20% of the world’s oil transit.
Post the historic deal, Nasdaq 100 futures saw a rally of 2.1% and S&P 500 contracts advanced by 1.2% in the early trading hours in New York, as reported by Bloomberg. Europe’s Stoxx 600 index reached a record high for the first time since February 27, while Brent crude took a tumble, heading towards $83 a barrel. Asian markets also opened on a high note, with South Korea’s Kospi surging over 4%, Japan’s Nikkei 225 adding 3.51%, and Taiwan’s TSMC rising 2.16%.
The geopolitical breakthrough came after months of tense negotiations and military flare-ups between the U.S. and Iran. President Trump had canceled scheduled airstrikes on June 11, signaling imminent progress. Markets responded with relief, as analysts note the easing of the Middle East conflict could unlock a significant global energy supply improvement. However, analysts caution that gas prices may remain elevated for some time as the full logistical and supply chain effects of the Strait’s reopening play out.
Source: Bloomberg – US Stocks Set to Rally on Iran Deal