Markets Bounce As Ukraine Expresses Readiness For 30-Day Ceasefire Proposal With Russia

Markets bounced back in early afternoon trading Tuesday as Ukraine signaled its readiness to accept a U.S.-backed proposal for a 30-day ceasefire, an agreement that could be extended if both sides comply.

While the plan still hinges on Russia's acceptance, investors saw the development as a step toward de-escalation, triggering a relief rally in the riskiest assets, such as stocks and cryptocurrencies.

According to a joint U.S.-Ukraine statement released Tuesday, both nations made "important steps" toward securing durable peace in Ukraine. The statement praised the resilience of the Ukrainian people and underscored the urgency of beginning a long-term negotiation process.

Stocks and Bitcoin Jump on De-Escalation Hopes

Markets responded swiftly to the news. The Nasdaq 100, tracked by the Invesco QQQ Trust (NASDAQ:QQQ), reversed earlier losses and surged more than 400 points from its intraday low, closing up 0.7% for the session.

Bitcoin (CRYPTO: BTC) climbed over 6%, snapping a five-day losing streak as risk appetite returned. The largest cryptocurrency changed hands at $83,320 by 3 p.m. in New York.

As per Benzinga Pro data, large-cap stocks witnessing the most substantial gains over the past hour of trading included:

• Astera Labs Inc. (NASDAQ:ALAB) up 5.13%
• AppLovin Corp. (NASDAQ:APP) up 4.45%
• FTAI Aviation Ltd. (NASDAQ:FTAI) up 4.19%
• SailPoint Technologies Holdings Inc. (NYSE:SAIL) up 4.16%
• Reddit Inc. (NYSE:RDDT) up 4.01%
• Vertiv Holdings Co. (NYSE:VRT) up 3.80%
• Coinbase Global Inc. (NASDAQ:COIN) up 3.65%
• Affirm Holdings Inc. (NASDAQ:AFRM) up 3.63%

What's In The Ceasefire Plan?

The U.S.-backed ceasefire proposal calls for an immediate, interim 30-day truce between Ukraine and Russia that could be extended by mutual agreement. The deal hinges on Russian participation, with the U.S. set to communicate that Russian reciprocity is key to achieving peace.

Additionally, the U.S. announced it would lift its pause on intelligence sharing and resume security assistance to Ukraine. The agreement also prioritizes humanitarian relief, including the exchange of prisoners of war, the release of civilian detainees, and the return of Ukrainian children who were forcibly transferred.

U.S. Secretary of State Marco Rubio said Ukraine has taken a "positive step" and expressed hope that Russia would reciprocate.

Beyond the immediate military considerations, the U.S. and Ukraine also agreed to finalize a comprehensive agreement on Ukraine's critical mineral resources.

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