Oil prices experienced a significant decline of 10%, with U.S. crude falling to $81.88 per barrel and Brent crude to $89.09. This drop followed Iran's announcement that the Strait of Hormuz, a crucial waterway for global oil transport, is now open for commercial vessels during a ceasefire period. The news alleviated fears of a supply disruption that had previously caused oil prices to surge. As a result, US stock markets reacted positively, with the Dow Jones Industrial Average rising by over 1,020 points, while the S&P 500 and Nasdaq also saw gains of 1.3% and 1.5%, respectively. Lower oil prices are expected to ease inflation pressures, which could prevent further interest rate hikes by central banks, benefiting companies with high fuel costs, such as airlines and cruise operators. However, shipping companies remain cautious, with some delaying the resumption of normal transit until safety concerns are addressed. Ongoing diplomatic efforts between the US and Iran are also influencing market sentiment, with hopes for a potential resolution in the conflict. Analysts warn that while the market has rallied, volatility may continue as investors monitor the situation closely.