News Desk - European Commission President Ursula von der Leyen hailed the U.S-Iran peace deal aimed at ending nearly four months of conflict, calling it a breakthrough that will end the "costly war." The announcement triggered a dramatic global market response, with oil prices plunging and worldwide stock markets surging as investors welcomed the prospect of peace in the Middle East and the reopening of the strategically vital Strait of Hormuz.

Asian stocks rallied Monday while oil prices tumbled following the agreement between the U.S. and Iran to establish peace, which aims to conclude hostilities that began in late February and lasted nearly four months. By 8:27 p.m. ET, U.S. crude oil futures for July delivery dropped 4.77%, settling at $80.83 per barrel, while Brent crude, the global benchmark for August delivery, traded approximately 4% lower at $83.77 per barrel. The deal came after more than three months of stop-start negotiations and bouts of fighting that roiled global energy and commodities markets, with Europe signaling sanctions relief and urging the reopening of the Strait of Hormuz.

The agreement follows a period of intense diplomatic engagement, with the U.S. and Iran releasing conflicting information about the deal's contents as each sought to demonstrate emerging from the war with the upper hand. Iran's Foreign Ministry had stated Tehran had "not yet" taken a final decision on the peace deal, contradicting President Trump's claim that a deal would be signed Sunday. The deal reportedly includes commitments from Iran to relinquish its stockpile of highly enriched uranium and permanently reopen the Strait of Hormuz, which Iran had closed to all vessels on June 11.

The global market response underscores the significance of the U.S-Iran peace deal, with investors betting on reduced geopolitical risk and the return of normal oil shipping through the Hormuz Strait. The agreement marks a potential turning point in the 107-day conflict that has strained global energy supplies and maritime security, though the exact implementation timeline and conditions remain to be clarified as both nations finalize the memorandum of understanding.