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Markets Slip as Investors Bet on Extended U.S.–Iran Ceasefire

  Stocks Edge Lower as Investors Hope U.S.–Iran Ceasefire Will Hold Stocks drifted lower today as markets balanced cautious optimism over a potential extension of the U.S.–Iran ceasefire with persistent geopolitical and inflation concerns. Recent trading sessions have shown that even modest signs of diplomatic progress can meaningfully shift investor sentiment. Asian and U.S. markets rallied earlier this week on hopes that Washington and Tehran would continue negotiations, helping unwind some of the war-driven risk premiums that had pushed oil and volatility higher. Despite the pullback, investors remain hopeful that the ceasefire—currently set to expire soon—will be extended, giving negotiators more time to work toward a longer-term agreement. Reports indicate both sides are considering adding another two weeks to the pause, a move that has already helped push Brent crude below the recent peak of nearly US$120 per barrel. Lower oil prices have eased pressure on inflation expecta...
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Germany’s President Condemns Iran War as a Historic Foreign Policy Break

In a scathing verbal attack, Frank-Walter Steinmeier, whose largely ceremonial role allows him to speak more freely than politicians, took a far more critical line than Chancellor Friedrich Merz.

Germany’s President Frank-Walter Steinmeier has sharply criticized the U.S.-led war in Iran, calling it a “disastrous mistake” and a breach of international law—an unusually direct rebuke of President Donald Trump’s foreign policy. 

A Rare and Blunt Critique

Steinmeier, whose largely ceremonial office allows him more freedom to speak candidly, warned that the conflict represents a deep rupture in transatlantic relations. He argued that the justification for the war—claims of an imminent attack on U.S. targets—“did not hold water,” and stressed that Germany must openly acknowledge violations of international law rather than avoid naming them. 

A Turning Point for German-U.S. Relations

The president compared the diplomatic fallout to the irreversible shift caused by Russia’s invasion of Ukraine, saying there would be “no going back” to pre-2025 relations with the United States. He urged Germany to reduce strategic dependencies on Washington, particularly in defense and technology, and to strengthen Europe’s own capabilities. 

A Call for European Autonomy

Steinmeier also highlighted the need for Europe to build alternatives to U.S.-dominated technologies, pointing to recent tensions over artificial intelligence governance as a wake-up call. He emphasized that Europe has the talent and ethical foundation to chart a more independent path. 

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