Nov. 25 - Oil prices fell and world shares were buoyed higher after Iran and six world powers sealed a deal to curb its nuclear program. Joanna Partridge look at the implications of the deal and looks at the opportunities it could create.
A heroes' welcome in Tehran for Iran's nuclear negotiation team, after clinching a deal with world powers in Geneva. Iranians hope the easing of sanctions - in exchange for curbing the country's nuclear programme - will make life easier. SOUNDBITE: Ms. Geranmayeh, Tehran resident, saying (Farsi): "The greatest benefit will be peace, the message of peace. The economy is also important. I believe we'll see progress in every field in the future." Since international sanctions were imposed the cost of basic goods in Iran has soared, unemployment has risen and investment has plummeted. The deal won't allow any more Iranian oil into the market - or allow Western energy investors in. But the price of Brent crude still fell by as much as $3 a barrel, as fears about oil supply eased. European airline stocks rose as a result. Miswin Mahesh is an oil analyst at Barclays. SOUNDBITE: Miswin Mahesh, Oil analyst, Barclays, saying (English): "It's not a free passport to continue business as usual for Iran. But it does help the oil market, because otherwise going into next year we still have massive outages. Libya's off the market by 1.4 million barrels per day, Iraq's also off the market by 300,000 barrels per day, on top of that Iran's also reducing." The deal could restart Iran's international automotive sector, see petrochemical exports resume and give the country access to $1.5 billion from trade in gold and precious metals. French carmakers were among the unexpected winners, says Nick Lewis from London Capital Group. SOUNDBITE: Nick Lewis, London Capital Group, saying (English): "Renault and Peugeot, Peugeot in particular, who had a presence in Iran prior to the restrictions that were put on in 2011, and certainly the CFO of Peugeot has already been out saying he's hoping to add, well certainly going back to 2011 they had a 10 million euro a month revenue." Peugeot isn't likely to be able to return to that kind of revenue overnight. Few doubt tough work lies ahead during the initial six-month period. But investors in many sectors will be watching closely for any opportunities.