HIGH2 sources
Asian shares decline as oil prices soar amid the war in Iran, echoing last week’s Wall Street drop
AP World News1 days ago
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HIGHThreat Assessment
The article reports Asian equity declines as oil prices surge amid the ongoing U.S.-Iran war, citing disruption to access through the Strait of Hormuz and market fears of a protracted conflict after President Trump's extended deadline. This underscores growing economic and strategic pressure on East Asian importers and raises short-term regional instability and inflation risks tied to energy supply.
Summary
Dealers work near the screens showing the Korea Composite Stock Price Index (KOSPI), right, and the foreign exchange rate between U.S. dollar and South Korean won at a dealing room of Hana Bank in Seoul, South Korea, Monday, March 30, 2026. (AP Photo/Lee Jin-man)2026-03-30T03:11:18Z
TOKYO (AP) — Asian shares mostly dipped Monday, as worries continued about soaring oil prices and the potential for further escalation in the U.S. war with Iran. The drops in Asia follow the deep declines on Wall Street last Friday that finished off a fifth straight losing week, its longest such streak in nearly four years.Japan’s benchmark Nikkei 225 slipped 2.8% to finish at 51,885.85. Australia’s S&P/ASX 200 lost 0.7% to 8,461.00. South Korea’s Kospi dove 3.3% to 5,258.02. Hong Kong’s Hang Seng lost 0.7% to 24,775.65, while the Shanghai Composite reversed course in the afternoon to be up 0.2% at 3,920.90.Worries have been great in Japan and the rest of Asia about the effective lack of access to the Strait of Hormuz because of the war in Iran, as the region relies greatly on such access for oil shipments. In energy trading, benchmark U.S. crude jumped $1.07 to $100.71 a barrel. Brent crude, the international standard, soared $2.49 to $115.06 a barrel. Before the war, Brent had been priced at about $70 to a barrel.
Investors are now bracing for the war to last for some time, which would likely set off inflation in global markets, and eventually may stunt Asia’s economic growth.
“Although we do not expect the conflict to be protracted, we anticipate heightened volatility in the near term,” said Xavier Lee, senior equity analyst at Morningstar Research.
Oil prices are again climbing after momentarily easing when President Donald Trump extended a self-imposed deadline to “obliterate” Iran’s power plants to April 6. On Wall Street, the S&P 500 fell 1.7% to close its worst week since the war with Iran began. The Dow Jones Industrial Average lost 793 points, or 1.7%, and fell more than
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United StatesIranJapanSouth KoreaAustraliaChina (Shanghai/Hong Kong markets)President Donald TrumpMorningstar ResearchXavier Lee
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Key Phrases
"Sharp rise in oil prices (Brent ~$115, WTI ~$100) increases economic stress for energy-importing East Asian states.""Article highlights effective loss of access to the Strait of Hormuz, a critical chokepoint for regional oil shipments.""Market volatility and investor risk-off behavior can amplify economic and political pressures in affected states, increasing governance and security risks.""Public statements extending military deadlines (Trump) elevate near-term escalation risk and uncertainty.""Prolonged conflict would sustain energy price shocks and could incentivize secondary security measures (maritime escorts, insurance rises, rerouting)."