ASX set to surge as Trump backs away from Iran threat; Oil tumbles

Save this article for later Add articles to your saved list and come back to them anytime. Got it Relief is flowing through financial markets after President Donald Trump said the United States has talked with Iran about a possible end to their war. Oil prices are easing, and stock prices are jumping on Wall Street following severe losses taken elsewhere in the world before Trump's announcement. The price for a barrel of Brent crude fell 9.4 per cent to $US101.62, down from nearly $US120 at one point last week, after Trump said the United States and Iran held productive talks the last two days "regarding a complete and total resolution of our hostilities in the Middle East." The S&P 500 rose 1.2 per cent toward its best day since the war began. The market's moves remain tentative, though, and Iran denied such talks took place. The S&P 500 trimmed its gain, which had reached 2.2 per cent in the morning. The Australian sharemarket is set to surge, with futures at 4.53am AEDT pointing to a jump of 160 points, or 1.9 per cent, at the open. The ASX lost 0.7 per cent on Monday. The Australian dollar was trading at US70.13¢ at 5.06am AEDT.