Asia-Pacific markets opened mostly higher on Tuesday, amid hopes that a deal between Washington and Tehran is still possible even as the US blocks Iranian shipments in the Strait of Hormuz.
The fragile truce between the US and Iran, while not officially lifted, is deeply flawed, with the US and Iran accusing each other of violating the terms of the truce.
The US said on Monday it had begun blocking ships from entering or leaving Iranian ports in the Strait of Hormuz as it seeks to increase pressure on Iran to reopen a key oil route after the collapse of peace talks. The blockade went into effect at 10 a.m. ET.
Iranian officials responded by warning that the US blockade would only increase global energy prices.
“Enjoy the current figures at gas stations, SEEbiz reports. With the so-called ‘blockade’, you will soon be nostalgic for $4-5 gas,” Iranian Parliament Speaker Mohammad Bagher Ghalibaf said in a weekly post on X.
West Texas Intermediate was down 2.02% at $97.08 a barrel as of 11:47 p.m. ET. Brent crude fell 1.33% to $98.04 a barrel.
South Korea’s Kospi was the top performer among major Asian indexes, extending early gains to rise 3.41%. Small-cap Kosdaq advanced 2.13%.
Australia’s S&P/ASX 200 was higher by 0.36%. Business confidence in Australia fell in March, weighed down by concerns over a war with Iran that led to a global oil shock, according to a National Australia Bank survey, Reuters reported.
Mainland China’s CSI300 rose 0.84%, while Hong Kong’s Hang Seng pared early gains and was 0.36% higher.
