London/Washington, June 15 (SANA)Global financial and commodity markets reacted strongly on Monday after the United States andIranannounced a peace accord and the reopening ofthe Strait of Hormuz, a key global energy shipping route, easing concerns over disruptions to oil supplies and maritime trade.

Oilprices fell more than 4%, the U.S. dollar weakened against major currencies andgoldprices rose as investors adjusted positions following the announcement.

Brent crude futures dropped $3.51, or 4.02%, to $83.82 a barrel, while U.S. West Texas Intermediate crude fell $3.93, or 4.63%, to $80.95 a barrel, according to Reuters.

The decline came after Pakistani Prime Minister Shehbaz Sharif announced on Sunday that Washington and Tehran had reached a peace agreement, a development that raised expectations of improved stability in the Gulf region and reduced the perceived risk of disruptions to global energy supplies.

The Strait of Hormuz, one of the world’s most strategically important waterways, carries roughly one-fifth of global oil consumption and serves as a critical route for energy exports from the Gulf.

Currency markets also responded to the developments, with theU.S. dollarindex falling 0.31% to 99.492, its lowest level in 10 days.

The eurorose 0.35% to $1.1607, while sterling gained 0.3% to $1.3448. The Australian dollar advanced 0.5% to $0.7075 and the New Zealand dollar climbed 0.4% to $0.5854.

At the same time, gold prices moved higher, supported by the weaker dollar and changing expectations for global monetary policy.

Spot gold rose 1.8% to $4,297.42 an ounce, its highest level since June 9, while U.S. gold futures for August delivery gained 1.9% to $4,318.10 an ounce.

Analysts said the combination of lower oil prices, reduced geopolitical uncertainty and expectations that major central banks could face less inflationary pressure contributed to the moves across asset classes.

Market expectations for aU.S.Federal Reserve interest-rate increase by December eased slightly to 68%, compared with 69% a week earlier, according to financial market indicators.

The market reaction followed announcements that the Strait of Hormuz would reopen and that the United States would lift its naval blockade of Iran as part of a preliminary understanding between Washington and Tehran.

Investors are expected to closely monitor the implementation of the agreement and planned negotiations on Iran’s nuclear program and sanctions relief, as markets assess the longer-term implications for energy supplies, global trade and regional stability.