On Wednesday (18 March, 9:43 AM, GMT+7, Bangkok time), major indices in the Asia Pacific showed a varied performance as conflicts in the Middle East continue to weigh on sentiment, with investors also digesting trade figures from Japan and awaiting the U.S. Federal Reserve’s policy decision.
Japan’s latest data showed exports increased 4.2% year-on-year in February, surpassing expectations for a 1.6% gain, according to a Reuters poll. The reading followed a sharp 16.8% surge recorded in the prior month.
Globally, a new round of attacks targeting energy infrastructure in the United Arab Emirates has intensified concerns over potential supply disruptions linked to the Iran conflict. Recent incidents include a drone strike on the world’s largest ultra-sour gas facility, a blaze at the Fujairah Oil Industry Zone, and reported damage to a tanker near the Strait of Hormuz.
Following unease around the Strait of Hormuz, attention has now turned to how policymakers, particularly the U.S. Federal Reserve, will navigate these pressures in their upcoming policy decision, with traders anticipating the central bank to maintain rates steady between 3.5% and 3.75%.
Meanwhile, U.S. President Donald Trump stepped back from efforts to rally international support for the conflict with Iran, criticizing allies who declined involvement while reiterating that the situation could be resolved in the near term.
Japan’s NIKKEI jumped by 2.21% to 54,888.53. South Korea’s KOSPI soared by 3.61% to 5,844.13, and Australia’s ASX 200 rose by 0.23% to 8,634.10.
As for stocks in China, Shanghai’s SSEC declined by 0.28% to 4,038.45. Shenzhen’s SZI slid by 0.10% to 14,026.43, and Hong Kong’s HSI dipped by 0.11% to 25,840.64.
The U.S. stock markets edged up on Tuesday as the Dow Jones Industrial Average (DJIA) climbed by 0.10% to 46,993.26. NASDAQ gained 0.47% to 22,479.52, and S&P 500 increased by 0.25% to 6,716.09. VIX slumped by 4.85% to 22.37.
As for commodities, oil prices settled higher on Tuesday as the latest Iranian strikes on the United Arab Emirates intensified concerns over global supply disruptions. Brent crude futures climbed $3.21, or 3.2%, to settle at $103.42 per barrel, while U.S. West Texas Intermediate rose $2.71, or 2.9%, to close at $96.21 per barrel.
However, prices edged lower in early Wednesday after industry data pointed to a build in U.S. crude inventories. Figures cited from the American Petroleum Institute indicated rising stockpiles, weighing on market sentiment. This morning, Brent crude dropped $1.15, or 1.11%, to $102.27 per barrel, while the WTI fell $1.59, or 1.65%, to $94.62.
Meanwhile, gold futures shrank by 0.07% to $5,004.60 per Troy ounce.
