Gulf markets fall as Hormuz closure dulls ceasefire optimism

DUBAI: Stock markets in the Gulf ended lower on Wednesday, as caution over the continued closure of the Strait of Hormuz outweighed US President Donald Trump’s move to indefinitely extend the ceasefire with Iran.

Trump said on Tuesday he would extend the ceasefire to allow further peace talks aimed at ending a war that has killed thousands and rattled the global economy. The US Navy, however, maintained its blockade of Iran’s ports and coastline, a move Tehran has described as an act of war.

Shipping through the Strait of Hormuz, which normally handles around 20 percent of global oil and liquefied natural gas supplies, remained largely at a standstill.