Global markets rallied and oil prices tumbled after the United States and Iran announced a tentative agreement to end their war, with the deal set to reopen the Strait of Hormuz and lift the American naval blockade.
A signing ceremony is expected in Switzerland later in the week, with Pakistan acting as mediator, according to reports from NBC News, Al Jazeera and NPR.
Oil prices slide
US crude oil closed down 4.8% at $80.75 a barrel, while international benchmark Brent fell 4.7% to $83.17. For both contracts, those were the lowest closing levels since the first week of March, shortly after the conflict with Iran began. The prospect of restored shipping through the key trade route eased fears of supply disruption.
Stocks climb
Equities advanced on the news, with the S&P 500 ending up 1.65% and the Nasdaq Composite gaining about 3%. The drop in oil removed an inflation risk premium that had weighed on growth and technology stocks.
Sources: NBC News, Al Jazeera, NPR.