The US-Iran ceasefire agreement boosts the stock market, with the Shanghai Composite Index closing up 0.77% | Lianhe Zaobao

After the United States and Iran reached a two-week temporary ceasefire agreement, global stock markets rebounded. The FTSE Straits Times Index closed up 38.04 points or 0.77% on Wednesday (April 8), ending at 4996.05 points. On Wednesday, the local stock market had a total trading volume of 2.2 billion shares, with a total transaction value of S$2.7 billion. There were 481 gainers and 178 decliners. In terms of the constituents of the index, 24 stocks rose, one remained flat, and five declined. The biggest gainers in the index were SATS and Hongkong Land, which rose 4.49% and 4.16%, closing at S$3.72 and US$8.27, respectively. The biggest decliners were DFI Retail Group and Seatrium, which fell 3.52% and 1.21%, closing at US$4.38 and S$2.45, respectively. Asian stock markets rose across the board. The Seoul stock market surged 6.87%, Tokyo jumped 5.39%, Shenzhen and Shanghai rose 4.79% and 3.71%, respectively, Taiwan increased by 4.61%, Hong Kong rose 3.09%, and Sydney gained 2.55%. Extended Reading New Telecom stock price opened up 0.8% on Wednesday Securities and Futures (Amendment) Bill read for the first time to prepare for dual listing plans in the US and Singapore Following the announcement of the ceasefire agreement, the market expects that energy supplies through the Strait of Hormuz may resume, leading to a sharp drop in oil prices and a rise in risk assets. However, the market generally believes that it remains uncertain whether the stock market can maintain its upward momentum, depending on whether the ceasefire agreement can last and how quickly energy flows through the Strait of Hormuz can return to normal Tiger Brokers strategist Huang Jiaran pointed out that the market's rapid recovery after the ceasefire announcement is not surprising. "This reminds investors of April 9, 2025, when Trump announced a 90-day tariff suspension, during which the S&P 500 index surged 9.5% in a single day and continued to rise thereafter." He believes that, in the long run, uncertainty still exists; however, since both sides have incentives to avoid escalation, the likelihood of a ceasefire is high. He stated that stock valuations are currently at relatively attractive levels. Meanwhile, in recent weeks, both institutional and retail investors have shown signs of "surrender," indicating that there is still considerable capital potential in the market that may flow back into risk assets in the future. Christian Gattiker, head of research at Julius Baer, noted that investors should remain cautious about this ceasefire and not interpret it as a complete resolution. "The two-week ceasefire period is likely only temporary and not a final end; once the ceasefire period ends, the risk of market volatility remains high." For more information on the Singapore stock market, please click here to visit