Iran ceasefire brings hope, but physical oil markets stay stressed

A ceasefire in Iran has sparked hopes for regional stability, potentially easing some geopolitical tensions that impact energy markets. However, physical oil markets continue to face significant pressures from structural and supply-side factors. The geopolitical situation in the Middle East remains volatile, and any disruptions to production or transportation could quickly affect prices. Furthermore, global oil demand remains robust, while production capacity constraints keep markets under stress. Despite initial optimism, analysts caution that long-term stability in oil markets will depend on multiple factors, including the evolution of regional tensions and global energy policies.