Trump Backs Off Iran Threat, Markets Surge

0:00It's March 23rd. You're listening to Sydney News today, AI-powered local news. I'm Corey with the story. Early this morning at 705, President Trump posted on true social that he was backing off his threat to bomb Iran's energy sites, sparking a huge market rally. Oil prices plunged more than 13%. Treasury yields dropped sharply and US stocks surged at the open with the S&P 500 jumping. 2.2%, its biggest gain since May. This came amid a U.S.-Israeli war in Iran that Trump started just over three weeks ago, which is choked off global energy supplies by closing the... Straight of Hormuz and pushed the economy toward crisis. Traders saw the post as a sign Trump wants to wind things down fast, especially after a volatile week that erased trillions from bond markets. Strategists warned the real economy could face a pandemic-style shutdown without quick resolution, and while Trump's history of reversing course to calm, markets has built

1:01investor confidence before. This conflict feels different with hostilities still escalating. Douts are growing that Trump can end the war easily, as two-year treasury yields spiked over half a percentage point since it began, fueling. Inflation fears and higher rates worldwide. His back-and-forth threats, including a paused 48-hour ultimatum, have left markets confused about real progress. European stocks and bonds rebounded too, but early gains faded as skepticism set in, highlighting how Middle East instability and shifting White House. Signals keep everyone on edge for what's next.