00:00Asian stocks surged on Monday morning as traders took in news of a deal between Iran and the US.
00:07In social media posts the day before, Donald Trump said the agreement would reopen the Strait of Hormuz.
00:13The US president said oil would flow again for the whole world.
00:18Stock indexes in Japan and South Korea jumped around 5% in early trade, with more modest gains for markets
00:24in China.
00:26Oil headed the other way, with international benchmark Brent crude down around 4% by mid-morning.
00:32If that drop is sustained, it could ease inflationary pressures around the world and spark a rethink on interest rates.
00:40Policy meetings are due at major central banks this week, including at the US Federal Reserve.
00:46Traders widely expect new chair Kevin Walsh to keep rates on hold, and they've rapidly cut back bets on an
00:53increase this year.
00:55The chances of a hike by October are now put at about 45%.
01:00For all that, a lot of uncertainty remains, with the precise terms of the deal not known.
01:06Iran says traffic through the Strait of Hormuz will be regulated by it and Oman, suggesting there might be some
01:12kind of toll.
01:13That's an idea that Trump has repeatedly rejected.
01:16The fate of Iran's nuclear program has also been left to future talks.
01:21And it's unclear whether Israel will stop fighting Hezbollah in Lebanon, something Tehran has said is a precondition for any
01:29deal.
01:30Markets will be watching every move ahead of the agreement's expected signing in Switzerland on Friday.
01:47And it's due to the
Comments