Hopes for US-Iran Talks Lift Asian Stocks
Asian stock markets rallied on Tuesday (April 14), following Wall Street's gains, after US President Donald Trump raised hopes of a deal with Iran despite the Strait of Hormuz blockade taking effect. Indexes in Japan, South Korea, and Australia all rose, while the MSCI Asia-Pacific Index jumped 0.8% in early trading.
US index futures held steady after the S&P 500 rose 1% on Monday, continuing a rally that was said to have erased losses from the escalating conflict over Iran. Optimism that easing tensions could lower energy prices also supported risk sentiment in the region.
In commodities, Brent fell 1.9% to $97.46 per barrel. Gold rebounded after two sessions of declines and traded around $4,755 per ounce, while Bitcoin rose to around $74,400. In the currency market, the Bloomberg Dollar Spot Index weakened slightly, while US bonds remained relatively stable in early Asian trading after strengthening in the New York session.
Market movements were triggered by Trump's claim that Iran had contacted his government regarding the possibility of peace talks, coinciding with the start of a US naval blockade of the Strait of Hormuz in the seventh week of the war. However, there has been no further confirmation from Tehran, keeping market participants wary of any changes in direction due to headline developments.
On the supply side, the Hormuz blockade marks the latest US effort to pressure Iran to loosen its control over the strategic waterway through which about a fifth of global oil and LNG flows pass. At least two tankers reportedly abandoned their planned voyages after a military deadline to exit Iranian waters passed, highlighting the potential for shipping disruptions. Although the US government has taken steps to contain the price surge—including coordinating the release of global emergency reserves and partially easing sanctions on Iranian oil shipping—oil prices remain near $100 on both benchmarks, maintaining the risk of volatility. (asd)
Source: Newsmaker.id
