On Friday (17 April, 9:22 AM, GMT+7, Bangkok time), most major indices in the Asia Pacific declined as concerns surrounding the Middle East conflict restrained risk appetite. Despite hopes that tensions may be easing, investors remained cautious in the run-up to the weekend, particularly as they monitored developments in the ongoing U.S.-Iran ceasefire discussions.
U.S. President Donald Trump indicated on Friday that the hostilities in Iran could end soon, reinforcing his optimistic stance about the resolution of the conflict. Earlier, Trump confirmed that both Israel and Lebanon had agreed to a 10-day truce set to begin at 5 PM ET. In parallel, Iran’s parliamentary speaker emphasized that Israel’s cessation of military operations in Lebanon is an essential requirement for the resumption of talks between Iran and the United States.
The dialogue between the U.S. and Iran may resume in person as early as the following weekend, according to Trump’s statement on Thursday.
In Japan, Finance Minister Satsuki Katayama announced that the Japan Bank for International Cooperation is establishing an investment framework worth up to 600 billion yen (approximately $3.8 billion) to support regional energy security for Asian nations. Katayama noted that recent turbulence in oil markets is having an impact on currency exchange rates as well.
Although oil prices have retreated and equities have reached new peaks, caution remains as economists warn that the potential economic consequences of the conflict may not be fully factored into market valuations.
Japan’s NIKKEI dropped by 0.91% to 58,975.41. South Korea’s KOSPI fell by 0.21% to 6,212.84, and Australia’s ASX 200 contracted by 0.38% to 8,920.70.
As for stocks in China, Shanghai’s SSEC lost 0.33% to 4,042.32. Hong Kong’s HSI slumped by 0.88% to 26,161.53, while Shenzhen’s SZI rose by 0.25% to 14,832.81.
The U.S. stock markets edged up on Thursday as the Dow Jones Industrial Average (DJIA) grew by 0.24% to 48,578.72. NASDAQ increased by 0.36% to 24,102.70, and S&P 500 advanced by 0.26% to 7,041.28. VIX shrank by 1.27% to 17.94.
As for commodities, oil prices settled higher on Thursday as investors questioned whether planned discussions between the United States and Iran would alleviate supply disruptions stemming from the conflict in the Middle East. Brent crude futures settled at $99.39 per barrel, rising $4.46 or 4.7%. U.S. West Texas Intermediate crude advanced by $3.40, or 3.7%, ending the session at $94.69 per barrel.
However, early Friday trading saw crude prices step back as optimism grew that regional tensions could ease after a ten-day truce between Lebanon and Israel was enacted. At the same time, President Donald Trump indicated the possibility of U.S.-Iran talks over the next weekend. Brent futures declined 95 cents or 0.96% to $98.44 per barrel, and the WTI futures diminished $1.20 or 1.27% to $93.49 per barrel.
Meanwhile, gold futures climbed by 0.02% to $4,809.20 per Troy ounce.
