Airline stocks were broadly higher early on the 8th. The move is seen as improved investor sentiment in airline shares, which had weakened on a surge in international oil prices, after news that the United States and Iran agreed to a two-week cease-fire.
As of 9:50 a.m. that day, Hanjin KAL was trading at 116,900 won, up 9,700 won (9.05%) from the previous session on the Korea Exchange. At the same time, Korean Air Lines was trading at 24,850 won, up 1,750 won (7.58%) from the previous session.
T'way Air (5.95%), Jeju Air (4.94%), and Jin Air (4.89%) were also on the rise.
According to the New York Times (NYT) and others on the 7th (local time), a U.S. government official said the U.S. attack on Iran was halted under a two-week cease-fire agreement.
U.S. President Donald Trump posted on the social media platform Truth Social at 6:32 p.m. that day, saying, "On the condition that Iran agrees to the complete, immediate, and safe opening of the Strait of Hormuz, I agree to suspend bombing and attacks on Iran for two weeks."
Iranian Foreign Minister Abbas Araghchi also said in a statement that he agreed to Pakistan's proposal for a two-week cease-fire, adding, "We will suspend defensive operations."
Airlines saw their share prices fall several times last month as international oil prices rose amid heightened tensions over the Iran war. Concerns grew that higher oil prices would increase airlines' fuel costs.
After news of the cease-fire agreement, international oil prices also plunged.
According to Bloomberg News, May delivery West Texas Intermediate (WTI) futures were down 12.49% at $98.84 a barrel as of 8:05 a.m. Korea time on the 8th compared with the previous session.
It was the first time since on the 2nd on an intraday basis that WTI futures fell below $100.