Markets Shrug Off Trump Ending U.S.-Iran Ceasefire as Oil Rises 5%
Updated
Updated · CNBC · Jul 8
Markets Shrug Off Trump Ending U.S.-Iran Ceasefire as Oil Rises 5%
3 articles · Updated · CNBC · Jul 8
Summary
S&P 500 fell just 0.6% and U.S. oil rose about 5% after Trump said at the NATO summit that the U.S.-Iran ceasefire was "over," a milder reaction than earlier war scares triggered.
JPMorgan and Vital Knowledge said investors see neither Washington nor Tehran seeking a prolonged conflict, with Trump still leaving room for negotiations and showing little appetite for troops on the ground.
10-year Treasury yields climbed 4 basis points to 4.57%, while UK gilt and German bund yields rose about 7 basis points each as renewed Strait of Hormuz attacks revived inflation and uncertainty concerns.
BMO warned markets now must judge whether the latest violence is a negotiating interlude or a reset that could leave the global outlook facing months of renewed uncertainty.