- Oil prices are expected to fall to or below their previous levels
- China did not respond to the blockade imposed on the Strait of Hormuz
The main commentary is largely a paraphrase of what he said overnight. That existence: He added, “I see it (the war) as very close to the end. If you raise the stakes now, it will take 20 years to rebuild that country. And we are not finished yet. We will see what happens. I think they want to reach an agreement very badly.”
He also went on to say earlier in the day that he was not considering extending the ceasefire period, because he did not believe it would be necessary to do so. And that was before he gave the markets much hope when he said: “I think you’re going to have a great time a couple of days ago. I really do.”
For now, the optimistic backdrop appears to be in place as we await the next round of negotiations on Thursday.
Markets are not recovering from the overnight rally, with S&P 500 futures becoming more tepid today and currently down 0.1%. In the area of major currencies, the dollar remains more mixed across the board. However, changes are relatively mild between dollar pairs. EUR/USD fell 0.1% to 1.1780 while USD/JPY rose 0.1% to 158.95 and AUD/USD rose 0.2% to 0.7138 at the moment.
