By Shishir Prashant 
PrashantNews
The US and Iran are set to sign a landmark peace agreement in Switzerland on Friday, marking the end of more than 100 days of hostilities that rattled the Middle East and disrupted global energy markets.
Immediately after the deal was announced, the crude oil prices fell by 4-5 percent.
The breakthrough, announced after intensive diplomatic efforts led by Pakistan and supported by regional mediators, is expected to establish a 60-day ceasefire framework and reopen the strategically vital Strait of Hormuz, through which nearly a fifth of the world’s oil and gas supplies normally pass. The agreement is also expected to end the US naval blockade of Iranian ports and restore commercial shipping through the waterway.
US President Donald Trump declared that the deal was “complete” and authorized the reopening of the Strait of Hormuz, signalling a major de-escalation in one of the most dangerous confrontations in the region in recent years. Iranian officials have also indicated that the agreement will be formally endorsed during the signing ceremony in Switzerland.
The conflict, which lasted more than 100 days, triggered repeated disruptions to global energy supplies and sent oil prices soaring. News of the agreement immediately calmed markets, with crude oil prices falling sharply as investors anticipated the return of normal shipping and energy exports from the Gulf region.
While the accord is expected to halt military operations, key issues such as Iran’s nuclear programme, sanctions relief and the future of regional security arrangements will be addressed during a separate 60-day negotiation period following the signing.
World leaders have broadly welcomed the development, viewing it as a significant step toward stability in the Middle East. Analysts say the reopening of the Strait of Hormuz could ease pressure on global inflation, lower energy costs and reduce fears of a wider regional conflict.
The signing ceremony in Switzerland is expected to be closely watched worldwide as Washington and Tehran attempt to transform a fragile ceasefire into a lasting peace.