Stocks Rise, Oil Prices Dip as Iran Ceasefire Takes Hold

Following a temporary ceasefire agreement between the US and Iran, global prices fell and financial markets rose.

The Details: Oil prices fell below $100 a barrel following the announcement. The Dow also rose by 1,325 points or 2.8%–the best day in the year, according to CNN (Lean Left bias). Financial markets also rose in the US, Europe and Asia. Shares of oil and gas companies declined as oil prices dropped. The ceasefire agreement is supposed to last two weeks. It also included plans to reopen the Strait of Hormuz, however Iran said it was closing the strait again after recent Israeli strikes against Iranian-backed Hezbollah in Lebanon.

For Context: Oil prices still remain higher than before the war started; before Feb. 28, it was trading at around $70 a barrel, according to BBC (Center). Since the strait closed in March, roughly 12 million to 15 million barrels of crude oil a day have been halted, CNN reported. The agreement comes after President Trump waved off his threats to strike critical Iranian infrastructure.

How the Media Covered It: Outlets across the political spectrum reported the numbers similarly. Some outlets on the left and in the center noted uncertainty surrounding the temporary ceasefire. New York Times (Lean Left) said investors "welcomed the move" despite "confusions about the terms of the deal." CNN highlighted the impact of the higher oil prices on consumers and the transit fees Tehran has imposed on tankers going through the strait. It also noted the ceasefire terms proposed by Iran are "unlikely to be acceptable to the US and its allies." Right-leaning outlets like the National Desk (Right), ZeroHedge (Lean Right) and Fox News (Right) highlighted the market success and praise from world leaders over the deal, attributing it to Trump pulling back on his plan to strike Iran. 

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