Oil prices edged lower and global equities mostly advanced on Tuesday across Europe and Asia, as uncertainty persisted over potential US-Iran negotiations to end the ongoing conflict.
Brent crude fell 0.7% to $94.81 per barrel, while US benchmark crude declined 0.9% to $86.63.
The الحرب has disrupted oil shipments through the Strait of Hormuz, a crucial global shipping route, driving prices significantly higher in recent weeks.
US President Donald Trump has called for the waterway to reopen fully to international shipping and has imposed a blockade on Iranian ports. He also said Vice President JD Vance would travel to Islamabad for possible talks with Iran. However, Tehran has not confirmed participation, particularly following the recent seizure of an Iranian-flagged vessel by the US Navy.
In European trading, Germany’s DAX gained 0.6% to 24,558.9, while France’s CAC 40 remained nearly unchanged at 8,333.05. Britain’s FTSE 100 inched up 0.1% to 10,620.92.
US futures for both the S&P 500 and the Dow Jones Industrial Average rose slightly, each adding just over 0.1%.
Asian markets also showed strength. Japan’s Nikkei 225 climbed 0.9%, supported by technology stocks such as Tokyo Electron, which rose 3.5%. SoftBank Group surged 8.5% on continued optimism around artificial intelligence-driven gains.
South Korea’s Kospi jumped 2.7%, while Taiwan’s Taiex advanced 1.8%.
Hong Kong’s Hang Seng rose 0.5%, and China’s Shanghai Composite added 0.1%. Meanwhile, Australia’s S&P/ASX 200 was little changed, slipping marginally.
Oil prices had risen earlier amid escalating tensions between Washington and Tehran, though recent gains have been less sharp compared to earlier in the conflict. US stocks, meanwhile, pulled back slightly from record highs.
On Monday, the S&P 500 fell 0.2%, the Dow slipped marginally, and the Nasdaq declined 0.3%.
Investor sentiment remains cautious due to concerns that continued disruptions in the Strait of Hormuz could impact global oil supply.
Attention is now focused on the looming ceasefire deadline between the US and Iran, set to expire late Tuesday US time.
Analysts say the situation remains delicately balanced, with hopes that renewed talks could lead to a breakthrough agreement to end the conflict.
Despite recent volatility, oil prices remain below their peak levels seen earlier in the war, and US equities continue to trade above pre-conflict levels.
Strong corporate earnings and resilient consumer spending have helped support the US economy, with most companies reporting better-than-expected profits for the first quarter of 2026.
Key earnings reports expected this week include UnitedHealth Group, Tesla and Procter & Gamble.
In currency markets, the US dollar strengthened to 159.21 Japanese yen, while the euro weakened slightly to $1.1767.