HK Stock Market Move | Airline stocks lead the way with Iran announcing the reopening of the Strait of Hormuz after two weeks and international oil prices plunging over 16% in early trading.

Aviation stocks lead the way, as of the time of writing, China Eastern Airlines (00670) rose by 10.75% to HK$4.12; Air China Limited (00753) rose by 9.38% to HK$5.25; China Southern Airlines (01055) rose by 8.64% to HK$4.40; CATHAY PAC AIR (00293) rose by 5.43% to HK$12.03. On the news front, Pakistani Prime Minister Shahbaz issued a statement in the early hours of April 8, requesting U.S. President Trump to extend the "deadline" by two weeks, while also requesting Iran to open the Strait of Hormuz for two weeks. The ceasefire officially took effect at 8 am Beijing time. Subsequently, officials from Iran, the United States, and Israel all officially stated that they agreed with Pakistan's proposal. In early Asia-Pacific trading on Wednesday, WTI crude oil fell by 16%. It is worth noting that the U.S. Department of Energy's EIA agency pointed out that even if the war ends, it will still take several months for oil transport in the Strait of Hormuz to fully recover. Until oil transportation fully resumes and oil production in the Middle East returns to normal, oil prices will remain high. The agency predicts that the average price of benchmark Brent crude oil spot prices worldwide this year will be $96 per barrel, higher than the previous forecast of $78.84, and it is expected that retail gasoline and diesel prices will continue to rise. It is reported that due to the surge in aviation fuel prices, Delta Air Lines will raise the checked baggage fees for domestic flights and some short-haul international flights.