On Wednesday (8 April, 9:17 AM, GMT+7, Bangkok time), major indices in the Asia Pacific surged across the board after U.S. President Donald Trump announced a temporary halt to planned strikes on Iranian infrastructure. The suspension remains conditional upon Iran permitting full, immediate, and secure access through the Strait of Hormuz, according to a statement by Trump on his social media platform.
Iran’s Supreme National Security Council, in a message delivered by Foreign Minister Abbas Araghchi, indicated that the country’s armed forces would stop their defensive activities. The announcement emphasized that safe transit through the Strait of Hormuz can proceed in cooperation with Iran’s military authorities, provided technical constraints are observed.
Trump’s decision marks a significant shift from a confrontational message posted the previous day, in which he threatened severe consequences if Iran did not comply. The latest developments eased immediate fears of escalation, prompting a positive reaction in regional equity markets.
Japan’s NIKKEI jumped by 5.36% to 56,294.60. South Korea’s KOSPI grew by 5.51% to 5,797.41, and Australia’s ASX 200 increased by 2.43% to 8,941.20.
As for stocks in China, Shanghai’s SSEC advanced by 1.34% to 3,942.38. Shenzhen’s SZI expanded by 3.04% to 13,808.27, and Hong Kong’s HSI rose by 2.63% to 25,776.53.
The U.S. stock markets edged up on Tuesday as NASDAQ climbed by 0.10% to 22,017.84. S&P 500 surged by 0.08% to 6,616.85, while the Dow Jones Industrial Average (DJIA) dipped by 0.18% to 46,584.46. VIX soared by 6.66% to 25.78.
As for commodities, oil prices dropped sharply on Wednesday as Brent crude declined by $14.41, or 13.19%, to $94.86 per barrel, and U.S. West Texas Intermediate (WTI) slipped $16.65, or 14.74%, reaching $96.30 per barrel, as of 9:17 AM (Bangkok time).
The decline followed Trump’s announcement of a two-week truce with Iran, while markets reacted to the prospect of eased tensions and potential improvements to oil supply flows through the crucial waterway.
Meanwhile, gold futures escalated by 3.44% to $4,845.90 per Troy ounce.
