Pansen Macro: Despite the decline in oil prices, the market may still face significant inflationary shocks in the future.

Pansen Macroeconomist stated that although oil prices fell after the two-week ceasefire agreement, the impending inflationary shock will still be significant. He said, "The ceasefire agreement eliminates the prospect of an April rate hike, which we have always considered an unlikely scenario, but we maintain our view that the ECB will tighten policy slightly this summer." Despite market welcome of the ceasefire, Iran may still restrict traffic through the Strait of Hormuz. He added, "Tehran has learned from this crisis that it can exert significant pressure on the United States by controlling the strait, and we see no reason why Iran wouldn't take advantage of this now." (Jinshi)