Asian stock markets rise amid Trump’s Strait of Hormuz ultimatum

Asian shares advanced on April 7, even as investors remained cautious amid U.S. President Donald Trump’s ultimatum regarding the opening of the Strait of Hormuz.

Japan’s Nikkei 225 rose slightly, closing up less than 0.1% at 53,429.56 points, Caliber.Az reports, citing Japanese media.

Australia’s S&P/ASX 200 gained 1.7% to 8,728.80, South Korea’s Kospi climbed 0.8% to 5,494.78, and China’s Shanghai Composite Index added 0.3% to 3,890.16.

Markets in Hong Kong were closed for a holiday.

US equities also posted gains: the S&P 500 rose 0.4% to 6,611.83, the Dow Jones Industrial Average gained 0.4% to 46,669.88, and the Nasdaq Composite increased 0.5% to 21,996.34.

Oil prices rose amid ongoing uncertainty over the potential impact of the US-Iran tensions on global energy supplies.

West Texas Intermediate (WTI) futures increased $2.41 to $114.82 per barrel, while Brent crude rose $1.46 to $111.23.

Mizuho Bank noted that Trump’s ultimatum has sparked a new cycle of escalation, with little expectation for a rapid resolution.

Meanwhile, Iranian and Omani officials continue working on mechanisms to manage the strait, through which roughly one-fifth of the world’s oil passes.

On the bond market, yields on 10-year US Treasury notes remained steady at 4.33%.

In currency markets, the U.S. dollar strengthened slightly, rising to 159.86 yen, while the euro fell to $1.1541.

By Bakhtiyar Abbasov