On Tuesday (7 April, 9:29 AM, GMT+7, Bangkok time), most major indices in the Asia Pacific saw an upward movement, reflecting gains seen in U.S. markets as investors monitored signals surrounding the conflict between the United States and Iran.
President Donald Trump threatened to target key infrastructure in Iran if the parties cannot reach a peace agreement within the apphroaching deadline, which is now less than 24 hours. He reiterated demands for Iran to restore access to the Strait of Hormuz by 8 PM Tuesday ET, warning of swift U.S. military action should that deadline pass without compliance.
Tehran rejected Washington’s proposed ceasefire terms and submitted an alternative that included a permanent cessation of conflict, safe passage guarantees for the Strait, sanctions relief, and reconstruction commitments. Trump acknowledged Iran’s proposal as a major step, though he said it still did not meet U.S. requirements.
Market participants exercised caution, given the ongoing uncertainty around potential disruptions to oil supply, risks of further escalation, and how authorities might respond. Besides the geopolitical focus, investors also monitored economic data, with a recent report showing a slowdown in U.S. services growth in March alongside rising input prices and a marked contraction in employment.
Notably, Hong Kong markets were closed for the Easter holidays.
Japan’s NIKKEI declined by 0.36% to 53,221.14. South Korea’s KOSPI contracted by 0.24% to 5,437.33, while Australia’s ASX 200 surged by 1.31% to 8,691.50.
As for stocks in China, Shanghai’s SSEC rose by 0.46% to 3,898.10, and Shenzhen’s SZI grew by 0.63% to 13,437.28.
The U.S. stock markets edged up on Monday as the Dow Jones Industrial Average (DJIA) gained 0.36% to 46,669.88. NASDAQ expanded by 0.54% to 21,996.33, and S&P 500 increased by 0.44% to 6,611.83. VIX escalated by 1.26% to 24.17.
As for commodities, oil prices settled higher on Monday as tensions between the United States and Iran intensified, despite indirect discussions aimed at reducing conflict. Brent crude closed at $109.77 per barrel, advancing 74 cents or 0.68%, while U.S. West Texas Intermediate (WTI) finished at $112.40 per barrel, a gain of 87 cents or 0.78%.
Gains continued after Trump escalated warnings toward Iran, signaling the potential for stronger measures should Iran not reopen the Strait of Hormuz. This morning, Brent futures rose $1.43 or 1.30% to $111.20 per barrel, and the WTI futures jumped $2.66 or 2.37% to $115.07 per barrel.
Meanwhile, gold futures dropped by 0.65% to $4,654.40 per Troy ounce.
