Tianli Investment: The market is placing more emphasis on a scenario where supply risks subside, and lower oil prices are improving investor sentiment.

(1) Anthony Willis of Tianli Investment stated in a report that investor sentiment has improved as the market assesses the possibility of further easing of tensions between the United States and Iran. (2) The senior economist said that lower oil prices indicate the market is placing greater weight on the scenario where recent supply risks are starting to subside. (3) This is important for the broader market because falling oil prices reduce the risk that conflicts pose to inflation or growth expectations. (4) Willis said that, for now, the market seems willing to overlook the recent volatility in the news, reflecting the view that both sides may be moving towards a more lasting framework.