India, Pakistan agree to an immediate ceasefire, calming commodity, freight markets

India and Pakistan agreed to an immediate ceasefire May 10, following four days of military strikes that had frazzled energy, shipping and agriculture markets and disrupted port operations.

"It was agreed between them that both sides would stop all firing and military action on land and in the air and sea with effect from 1700 hours IST today. Instruction has been given on both sides to give effect to this understanding," Indian Foreign Secretary Vikram Misri told reporters May 10.

Global leaders had urged both countries to de-escalate tensions after India launched military operations aimed at "terrorist infrastructure" in Pakistan and Pakistan-occupied Jammu and Kashmir following an attack on tourists last month in India-administered Kashmir.

"After a long night of talks mediated by the United States, I am pleased to announce that India and Pakistan have agreed to a full and immediate ceasefire. Congratulations to both countries on using common sense and great intelligence," US President Donald Trump said in a post on Truth Social.

Cross-border strikes and security alerts had disrupted port operations and triggered contingency blackouts across western Indian terminals, raising fears of broader supply chain interruptions.

Critical energy infrastructure, including refineries and LNG terminals, did not see any disruption.

"The development will help to reduce tensions and help to bring calm to commodity, energy and freight markets and reduce the fear of potential trade flow disruptions," said Kang Wu, global head of macro and oil demand research at S&P Global Commodity Insights.

The head of Pakistan's military operations and his Indian counterpart will meet on May 12, India's foreign ministry said.