Trump Announces Deal to End Iran Conflict, Lift Hormuz Strait Closure—Markets Rally on Oil Price Relief

In a major geopolitical breakthrough, President Trump announced late Sunday, June 15, that a deal with Iran has been completed to end hostilities and reopen the Strait of Hormuz, a critical global shipping corridor. The announcement sent global financial markets surging, with oil prices tumbling and major equity indices rebounding sharply.

The Background

President Trump announced late Sunday, June 15, that a comprehensive deal with Iran has been finalized, ending weeks of military conflict and reopening the Strait of Hormuz for shipping traffic. The accord represents a significant de-escalation in Middle Eastern tensions that had dominated market sentiment since February 28, 2026, when U.S.-Israeli hostilities with Iran began. The immediate market response was dramatic. Oil prices fell sharply following the announcement, a development that analysts characterized as the most significant economic relief to global markets in recent weeks.

Global Energy

The technology-heavy Nasdaq jumped 3.07%, while the S&P 500 rose 1.65%, and the Dow Jones Industrial Average gained nearly 469 points. Shares that had suffered most during the geopolitical crisis led the recovery, with stock indices reversing losses accumulated during the period of heightened tensions. The Strait of Hormuz, located on Iran's southern border, serves as a critical chokepoint for global energy supplies. Approximately 20% of global oil and a similar share of liquefied natural gas (LNG) transit through this waterway under normal circumstances.

The Bigger Picture

During the recent conflict, the strait's closure created significant disruptions to international shipping, with around 150 vessels anchoring in the waterway while traders reassessed supply-chain risks and energy-price forecasts. The deal's completion comes at a pivotal moment for central banking decisions worldwide. The Federal Reserve, meeting for the first time under new Chair Kevin Warsh, is expected to maintain rates unchanged in the coming week, with market focus shifting toward the Fed's messaging now that the oil threat has substantially diminished. Brazil's central bank is also preparing its decision on interest rates, having observed inflation rise to 4.72% last week—a development that central bankers will now weigh against the improved global economic backdrop created by the deal.

Industry Response

For Brazil and other emerging economies, the calmer environment represents a major shift. Just days prior, the prospect of a prolonged energy crisis and supply-chain disruption had clouded economic outlooks across developing nations. The reopening of the Strait of Hormuz alleviates immediate concerns about energy availability and pricing, while reducing pressure on import-dependent economies that rely heavily on stable oil prices. SpaceX also benefited from the optimistic market mood.

Global Supply

The company completed the largest stock market debut in history, with shares jumping nearly 20%, signaling renewed investor confidence in growth stocks following weeks of cautious positioning. While the Trump administration did not immediately release detailed terms of the Iran agreement, the deal's completion marks a dramatic reversal from the escalating rhetoric and military actions that had characterized U.S.-Iran relations throughout the first four months of 2026. The agreement appears to address key concerns about energy security and global supply-chain stability that had begun to constrain economic activity across multiple regions.