Evening digest: Ukraine aid cleared, Iran Hormuz standoff deepens

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Global markets remained on edge on Wednesday as geopolitical tensions and macro developments drove investor sentiment across asset classes.

The US and Iran are locked in a standoff over the Strait of Hormuz, raising fears of supply disruptions.

The European Union has approved a €90 billion loan for Ukraine after months of deadlock.

Bitcoin surged past $78,000 as risk appetite improved following a ceasefire extension.

Meanwhile, crude oil prices climbed back above $100 amid escalating tensions in key shipping routes.

US-Iran deadlock over Strait of Hormuz

The United States and Iran remain locked in a high-stakes standoff over control of the Strait of Hormuz after failing to resume peace talks, with both sides using restrictions on the waterway as leverage during an extended ceasefire.

Washington has maintained a naval blockade on ships traveling to and from Iranian ports, a move Tehran has criticized as a violation of the truce.

Iran, in response, has effectively restricted international traffic through the strait and reportedly fired on commercial vessels.

The strategic waterway, which previously handled about a fifth of global oil and liquefied natural gas shipments, remains largely disrupted, raising concerns about global supply shortages and inflation risks.

President Donald Trump extended the ceasefire but acknowledged divisions within Iran’s leadership. However, uncertainty persists, with no clear timeline for reopening the strait or resuming negotiations.

“As soon as they break this blockade, I think that the next round of the negotiations will take place in Islamabad,” Iran’s envoy to the United Nations said.

EU clears €90 billion aid package for Ukraine

The European Union has approved a €90 billion ($106 billion) loan package for Ukraine, ending months of political gridlock after Hungary lifted its veto.

The breakthrough came after Ukraine restored oil flows through the Druzhba pipeline, addressing Hungary’s concerns over energy supplies.

The resolution allowed EU ambassadors to move forward with both the aid package and additional sanctions against Russia.

The funding is expected to provide critical financial support to Ukraine, which faces mounting fiscal pressure more than four years into the war with Russia.

The political shift in Hungary also played a role, with incoming leadership signaling stronger alignment with EU priorities and continued support for Ukraine.

Bitcoin surges above $78,000 on risk-on sentiment

Bitcoin climbed above $78,000, marking a fresh monthly high as investors embraced risk assets following the extension of the US-Iran ceasefire.

The rally was supported by strong institutional demand, including continued inflows into spot Bitcoin ETFs and buying activity from corporate players.

A short squeeze further accelerated gains, with more than $330 million in leveraged positions liquidated over the past 24 hours.

Analysts noted that the $80,000 level remains a key psychological threshold, with further upside dependent on sustained momentum and a decisive breakout above resistance levels.

Crude oil climbs back above $100 amid supply fears

Oil prices rebounded sharply, with Brent and WTI crude surging above 3%. Brent crude rallied above $100 per barrel as tensions in the Strait of Hormuz intensified.

Iran’s Revolutionary Guards reportedly seized two container ships and opened fire on others in the region, highlighting escalating risks to global energy supply chains.

At the same time, the US blockade and stalled peace talks have added to uncertainty around future oil flows, pushing prices higher.

With both geopolitical risks and supply constraints in focus, energy markets remain highly sensitive to developments in the region.
source: https://www.tradingview.com/news/invezz:40d8f1691094b:0-evening-digest-ukraine-aid-cleared-iran-hormuz-standoff-deepens/