Trump Iran – Asian shares mostly rose Monday after President Donald Trump said talks to end the war with Iran are progressing, while oil prices plunged as expectations grew for reopening the Strait of Hormuz. The Nikkei jumped, U.S. crude and Brent fell sharply, and curren
TOKYO — For traders watching the Strait of Hormuz. the message landed quickly: President Donald Trump said negotiations with Iran were moving forward in an “orderly and constructive manner.” By Monday morning in Asia. stocks climbed and oil prices dropped as investors leaned away from worst-case geopolitical fears.
Japan’s benchmark Nikkei 225 surged 3.1% in morning trading to 65,321.56. Australia’s S&P/ASX 200 added 0.4% to 8,692.70, and the Shanghai Composite edged up 0.4% to 4,127.53. Trading was closed in South Korea and Hong Kong for holidays marking Buddha’s birthday.
Markets also focused on what a deal could mean for the flow of oil. Regional officials told The Associated Press on Sunday that the United States is close to reaching a deal that would end the war, reopen the Strait of Hormuz, and see Iran give up its stockpile of highly enriched uranium.
Reopening the strait could reshape oil prices because the closure has prevented oil tankers from exiting the Persian Gulf to deliver crude to customers worldwide. Japan, for instance, imports almost all its oil, most of it through the Strait of Hormuz.
As those expectations took hold, benchmark U.S. crude fell $4.35 to $92.25 a barrel in early trading Monday. Brent crude, the international standard, sank $4.16 to $99.38 a barrel.
The dollar also eased in currency trading. It declined to 158.80 Japanese yen from 159.16 yen. The euro cost $1.1641, up from $1.1605.
The move in oil and currency didn’t happen in isolation. Friday on Wall Street. stocks finished their eighth straight winning week. the best such streak since 2023. even as a survey showed U.S. consumers are feeling even worse about the economy. The S&P 500 added 0.4% and pulled closer to its all-time high set in the middle of last week. The Dow Jones Industrial Average rose 0.6%, and the Nasdaq composite gained 0.2%.
Recent earnings reports from U.S. companies that topped analysts’ expectations helped markets, but worries about inflation pushed bond yields higher worldwide. The yield on the 10-year Treasury edged down to 4.56% Friday from 4.57% late Thursday. but it remains well above its 3.97% level from before the war.
One more factor will shape how quickly traders react: trading will be closed in the U.S. on Monday for Memorial Day.
Trump Iran peace talks Asian shares Nikkei 225 oil prices Strait of Hormuz U.S. crude Brent dollar yen Memorial Day
So Trump says peace talks and oil just drops?? Seems fake like markets always overreact.
I don’t even get this Strait of Hormuz thing, but if Iran gives up uranium then why is it even a “drop” in oil. Like shouldn’t that mean higher prices?
Wait it says Nikkei went up and oil went down, but that’s literally the opposite of what I’d think. Also they keep saying “close to a deal” like that’s not the same as already happening.
Memorial Day close and everybody’s trading vibes? Oil falling could be good but I swear it’s gonna jump back up as soon as they stop talking. “Orderly and constructive” is what they always say right before something goes sideways.