GBP recovers after Trump confirms ceasefire

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waterman
Written by Dan Waterman
June 24th 2025
"Nobody will get hurt, a ceasefire is in effect" says President Trump. Or is it.. 

Oil prices, the USD and other safe haven currencies are all down today with global stocks and the Pound higher. This comes after a swift and dramatic de-escalation of tensions in the Middle East.

Yesterday, in retaliation of US missiles, Iran fired their own missiles toward US bases in Qatar and Iraq, but all appeared to be intercepted. Investors are betting this will be the extent of the Iranian response, especially as Trump has now declared a ceasefire.

It was reported earlier that Iran launched missiles towards Israel (who denied), violating the agreement with Israel retaliating with force. Trump has pleaded with Israel to 'calm down', who have now called off all attacks.

Is the war likely to be over? No-one knows for now, but traders are betting today that it is, which is why GBP has jumped against the Euro (+0.5%) and USD (1.5%).

A sustained spike in oil prices would damage the world economy, raising costs for both businesses and consumers. This looks to be averted and is the main reason for the stock market recovery. More twists are likely ahead..