Currency dealers work as an electronic board displays the exchange rate between the US dollar, the Korea Composite Stock Price Index (KOSPI), and South Korean won and the Korea Securities Dealers Automated Quotations (KOSDAQ) at the dealing room of a bank in Seoul, South Korea on Apr 8, 2026. (File photo: Reuters/Kim Soo-hyeon)

Crude rises, stocks fall on fears over nascent Iran ceasefire

Markets surged and oil prices fell after the United States and Iran agreed to a temporary ceasefire, with an analyst saying that the markets felt a "wave of relief".

08 Apr 2026, 17:48 · CNA · Join

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WASHINGTON: Oil prices climbed and stocks fell on Thursday (Apr 9) on fears over the nascent United States-Iran ceasefire after Tehran threatened to resume hostilities after Israel launched a major bombardment of Lebanon.

Equity markets across the globe soared and crude plunged on Wednesday after US President Donald Trump announced the two-week halt in the war, and the Islamic republic said it would reopen the Strait of Hormuz as peace talks took place.

But with the deal less than a day old, cracks were already appearing as Tel Aviv said it did not include Israel's fight against Iran-backed Hezbollah in Lebanon as it continued attacks on its northern neighbour.

That view was echoed by Vice President JD Vance, who said: "If Iran wants to let this negotiation fall apart ... over Lebanon, which has nothing to do with them, and which the United States never once said was part of the ceasefire, that's ultimately their choice."

Iran said that it broke the terms of the deal as reports said the vital Hormuz waterway - through which a fifth of world oil and gas passes - was shut again. However, that came as Tehran announced alternative routes for ships travelling through the Strait, citing the risk of sea mines.

The country's parliament speaker Mohammad Bagher Ghalibaf posted on X that the "workable basis on which to negotiate" had already been violated, making further talks "unreasonable".

He listed three alleged US violations of the truce plan: the continued attacks in Lebanon, a drone entering Iranian airspace and a denial of the country's right to enrichment.

Hezbollah said on Thursday it had fired rockets towards Israel in response to its "violation".

Meanwhile, a senior US official said Tehran's 10-point plan was not the same set of conditions the White House had agreed to.

Fears that the ceasefire could fall apart while crude remains stuck in Hormuz saw West Texas Intermediate oil jump around 3 per cent on Thursday, having plunged more than 16 per cent the day before. Brent was up more than 2 per cent following a 13 per cent drop.

Equities also gave up some of their gains.

Tokyo, Hong Kong, Shanghai, Sydney, Singapore, Seoul and Taipei were all down.

Attention is also turning to crunch talks in Pakistan that are expected on Friday or Saturday, with Vance leading the US delegation.

"Many questions remain with the 10-point plan that Trump has received from Iran (which includes Iranian control of the Strait of Hormuz, US acceptance of Iran's uranium enrichment programme, the end of all sanctions and withdrawal of the US military from the Gulf region) is at odds with Trump's 15-point peace plan," wrote National Australia Bank's Skye Masters.

Still, observers warned that an end to the conflict would not see a quick return to normal, with crude prices still elevated and key regional infrastructure targeted that could take billions of dollars and at least months to repair.

Shipping journal Lloyd's List estimated that around 800 ships have been stuck in the Gulf since the end of February, when hostilities broke out.

Still, Forex analyst Fawad Razaqzada said: "Investors are confident that oil prices could ease further and the Strait of Hormuz will reopen again and hopefully stay open beyond the two-week ceasefire period."

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