In a statement sent to Rigzone on Wednesday, Naeem Aslam, CIO at Zaye Capital Markets (ZCM), outlined that ZCM sees global markets “entering the session with cautious optimism but clear regional divergence”.
“The extension of the Iran ceasefire has reduced immediate escalation risk, supporting a rebound in U.S. equity futures, while European markets remain restrained due to their higher sensitivity to energy prices and ongoing supply disruptions,” Aslam said in the statement.
“Commodities reflect this balance, with gold stabilizing as safe-haven demand cools but does not fully unwind, and oil holding near elevated levels as supply risks persist despite partial geopolitical relief,” he added.
“Overall, markets are not pricing in a full resolution, but rather a controlled easing of risk, leaving sentiment fragile and highly dependent on further geopolitical developments, inflation data, and central bank signals,” he continued.
In a statement posted on his Truth Social page on April 21, U.S. President Donald Trump said, “based on the fact that the Government of Iran is seriously fractured, not unexpectedly so and, upon the request of Field Marshal Asim Munir, and Prime Minister Shehbaz Sharif, of Pakistan, we have been asked to hold our Attack on the Country of Iran until such time as their leaders and representatives can come up with a unified proposal”.
“I have therefore directed our Military to continue the Blockade and, in all other respects, remain ready and able, and will therefore extend the Ceasefire until such time as their proposal is submitted, and discussions are concluded, one way or the other,” he added.
A statement posted on the X page of the Embassy of the Islamic Republic of Iran in Helsinki, Finland, on April 22, which was responding to Trump’s post on Truth Social, said, “DJT … leaning on Field Marshal Asim Munir and PM Shehbaz Sharif to justify a unilateral, open-ended ceasefire extention [sic]”.
“However, there will be no ‘new’ proposal from Iran – the framework is already on the table. If an agreement is the goal, DJT needs to step out of his Venezuela fantasies and start engaging with realities on the ground,” it added.
“Bullying and gamble-style tactics including ‘Blockade’ won’t work here,” it continued.
In a statement posted on his X page on April 21, Pakistan Prime Minister Shehbaz Sharif said, “on my personal behalf and on behalf of Field Marshal Syed Asim Munir, I sincerely thank President Trump for graciously accepting our request to extend the ceasefire to allow ongoing diplomatic efforts to take their course”.
“With the trust and confidence reposed in, Pakistan shall continue its earnest efforts for negotiated settlement of conflict,” he added.
“I sincerely hope that both sides will continue to observe the ceasefire and be able to conclude a comprehensive ‘Peace Deal’ during the second round of talks scheduled at Islamabad for a permanent end to the conflict,” Sharif went on to state.
A note to correspondents delivered by Stéphane Dujarric, Spokesman for the United Nations Secretary-General Antonio Guterres, which was posted on the UN website on Wednesday, stated, “the Secretary-General welcomes the announcement by the United States to extend the ceasefire”.
“This is an important step toward de-escalation and creating critical space for diplomacy and confidence-building between Iran and the United States,” the statement added.
“We encourage all parties to build on this momentum, refrain from actions that could undermine the cease-fire, and engage constructively in negotiations to reach a sustainable and lasting resolution,” it noted.
“The Secretary-General fully supports Pakistan’s efforts in facilitating further talks. The Secretary-General hopes that these efforts will contribute to creating conditions conducive to a comprehensive and durable resolution to the conflict,” the statement continued.
In a report sent to Rigzone on Wednesday by the Standard Chartered team, Standard Chartered Bank Energy Research Head Emily Ashford noted that oil prices were stuck between de-escalation hopes and structural tightness.
“Premature enthusiasm around the opening the Strait of Hormuz on 17 April was quickly dashed and Brent crude prices returned rapidly to $95 per barrel,” Ashford said.
“This level appears to represent an uneasy equilibrium between hopes of de-escalation and structural tightness in physical balances that is increasing as time passes,” Ashford added.
The Standard Chartered Head pointed out in the report that hopes were centering on “further direct talks before the ceasefire officially ends on 22 April”.
In the report, Ashford warned that oil price movements remain headline driven and said volatility remains elevated, noting that 30-day annualized Brent volatility increased by 1.3 percentage points week on week to 106.11 percent on April 20.
Ashford went on to warn in the report that, even in the event of a resolution to the conflict, Standard Chartered does not expect “the prompt normalization of flows”.
“In the short term, some alternative supply is being made available from strategic reserves, which have started to be drawn down,” Ashford noted.
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