Market Overview - The benchmark S&P/ASX 200 index rose 1.1% to finish at 8,692.60 points after a 3% decline on Monday, marking its worst day in 11 months [1][7] - The New Zealand benchmark S&P/NZX 50 index ended flat at 13,094.37 points [6][7] Oil and Energy Sector - Oil prices fell by more than 4% following U.S. President Trump's comments that the conflict with Iran could end sooner than expected, easing concerns about prolonged disruptions to global oil supplies [1][7] - Australia's energy sub-index declined 2.9%, marking its worst session since mid-September, a day after reaching an all-time high [1][7] - Karoon Energy's stock dropped 6.8%, the steepest decline since April 9, while sector majors Santos and Woodside Energy fell by 3.5% and 3.8%, respectively [1][7] Market Analyst Insights - Hebe Chen, a senior market analyst at Vantage Markets, noted that when oil prices rise due to geopolitical fears rather than actual supply disruptions, the sector becomes crowded and can reverse quickly once the fear premium fades [4][7] - The rotation out of energy stocks is viewed as a tactical move rather than a structural exit, with the sector likely to remain supported as long as the Strait of Hormuz remains a flashpoint [5][7] Other Sectors - The mining sub-index advanced by 2%, breaking a five-session losing streak, with BHP Group and Rio Tinto increasing by 2.3% and 0.6%, respectively [6][7] - Financials rose 1.3%, marking their best session in nearly three weeks, with all four major banks adding between 1.4% and 1.9% [6][7] - Technology, healthcare, and gold stocks also saw gains between 1.8% and 2.1% [6][7]