Oil prices slipped on Thursday as traders awaited further details on a U.S.‑backed initiative to end the conflict in the Middle East and reopen the Strait of Hormuz. Brent Crude fell below $100 a barrel, down 2.6 % to $98.61, while West Texas Intermediate lost 2.9 % to $92.36.
The decline followed a sharper drop on Wednesday, when crude futures plunged more than 10 % on hopes of a diplomatic breakthrough. The market’s optimism appears to be waning after initial enthusiasm over a potential de‑escalation in the Iran‑Israel confrontation.
Global equity markets posted mixed results. In the United States, the Dow Jones Industrial Average edged lower 0.2 % to 49,835.39, while the S&P 500 rose 0.1 % to 7,374.66 and the Nasdaq Composite gained 0.5 % to 25,971.26, each hovering near record highs. European indices closed lower: the FTSE 100 fell 1.6 % to 10,276.95, France’s CAC 40 slipped 1.2 % to 8,202.08 and Germany’s DAX dropped 1.0 % to 24,663.61. Asian markets were more upbeat; Japan’s Nikkei 225 surged 5.6 % to 62,833.84 after a week of public holidays, Hong Kong’s Hang Seng rose 1.6 % to 26,626.28, and Shanghai’s Composite advanced 0.5 % to 4,180.09.
Currency movements reflected a modest shift away from the U.S. dollar’s safe‑haven status. The euro gained to $1.1768, the pound rose to $1.3614, and the yen ticked up to 156.44 per dollar.
Norway’s central bank raised its policy rate by 0.25 percentage points to 4.25 %, citing elevated inflation risks linked to the Middle‑East conflict. Inflation in Norway has remained above target for several years, according to Governor Ida Wolden Bache.
In the corporate sphere, technology earnings continued to drive market sentiment. Strong results from Apple, Alphabet, Microsoft and Samsung reinforced investor interest in artificial‑intelligence‑related stocks, prompting analysts to describe the U.S. market as being in a “melt‑up” phase. The Emirates Group reported a 3 % rise in annual profit to $5.7 billion despite flight disruptions caused by the war.
U.S. President Donald Trump indicated that a peace agreement could be near following positive talks, while Iran said it would convey its latest position to mediator Pakistan. The outcome of these diplomatic efforts will be closely watched, as a resolution could stabilize oil supplies through the Strait of Hormuz and influence both commodity and equity markets in the weeks ahead.
