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LONDON — Oil prices and stock markets have seen sharp swings following Trump’s comments on a possible pause in U.S. strikes on Iran. Investors briefly took comfort from signs that the conflict might ease, sending Brent crude lower and lifting major stock indexes in Europe and the United States. 

Brent crude, which had climbed above $110 a barrel during the latest phase of the crisis, fell back below $100 after Trump said the United States would hold off for five days on planned strikes against Iranian energy infrastructure. He also said there had been productive talks with Iran, although Tehran denied any negotiations had taken place. 

In the United States, the Dow Jones Industrial Average rose 631 points, or 1.4%, while the S&P 500 gained 1.1%. In London, the FTSE 100 recovered from steep early losses and closed only slightly lower after earlier fears of a wider regional war shook confidence. 

The rebound came after days of heavy pressure on global markets as the conflict disrupted energy flows through the Strait of Hormuz, one of the world’s most important shipping routes for oil and liquefied natural gas. Traders remain focused on the waterway because any prolonged disruption there could keep fuel and transport costs high around the world. 

Still, analysts warned that the relief may be temporary. Iran’s denial of any talks with Washington quickly raised fresh doubts about whether a pause in military action will hold. Even if fighting slows, damage to energy sites and uncertainty over shipping routes could keep oil prices unstable in the days ahead. 

In Britain, the sudden moves in oil and financial markets added to concerns about the cost of energy and the wider economy. Prime Minister Keir Starmer held an emergency Cobra meeting on Monday as officials reviewed the possible effect of a longer conflict on supplies, inflation and growth. 

Markets welcomed the latest signal of a possible pause, but traders and policymakers are still watching for firm evidence of de-escalation. For now, the crisis continues to drive both oil prices and investor sentiment.