Investors’ brief optimism evaporated as the Strait of Hormuz bottleneck resurfaced, throttling a market rally that had briefly surged on Wednesday. Brent crude nudged above $98 a barrel after dipping near $90, while U.S. West Texas Intermediate edged toward $100. The slowdown in oil flows, which normally carries a quarter of global petroleum exports, injected fresh volatility into equities and commodities.

The fragile U.S.-Iran cease‑fire lingered into a second day, but shipping through the strait fell to four vessels on Wednesday, half the five‑day average, as Tehran floated a fee schedule demanding crypto or yuan payments up to $2 million per supertanker. Gulf states and oil majors decried the move as illegal, while insurers kept premiums sky‑high, squeezing trade flows.

Airlines braced for prolonged fuel costs; Delta Air Lines chief Ed Bastian warned that even a durable truce would leave oil prices “higher for longer,” forcing weaker carriers into costly adjustments. Meanwhile, Fed officials signaled no rate cuts, citing Middle‑East inflation pressures, and U.S. stock futures slipped alongside European and Asian indexes. Market participants now sit on the sidelines, awaiting the Islamabad talks.