Asia-Pacific markets were mostly higher Monday, as investors continue to keep a cautious eye on developments in the Middle East amid renewed tensions between Iran and the U.S.
Japan’s Nikkei 225 reasserted itself 348.99 points, or 0.6%, to end the week’s first session at 58,824.99.
In Hong Kong, the Hang Seng regained 200.74 points, or 0.8%, to 26,361.07.
U.S. President Donald Trump said Sunday that a Navy guided missile destroyer had fired on and disabled an Iranian-flagged cargo ship in the Gulf of Oman before Marines boarded and seized the vessel.
The seizure is an escalation of the blockade and comes after Iran fired upon commercial vessels attempting to transit the Strait of Hormuz earlier Sunday. The strait is between the Persian Gulf and the Gulf of Oman.
Since last week, the U.S. has been operating a naval blockade of ships entering and exiting Iranian ports. Iran views the ongoing blockade as a breach of the ceasefire reached by the U.S. and Iran, and cites this as one of its reasons for calling off the expected negotiations on Monday in Islamabad.
Trump warned on Sunday he would “knock out every single Power Plant, and every single Bridge, in Iran” if Tehran did not agree to Washington’s terms to end the conflict.
South Korea’s Kospi pared earlier gains, while the small-cap KOSDAQ advanced 0.41%. SK Hynix was among the best performers on the Kospi Index, rising over 3% following news that it has started mass production of next-gen AI server memory designed for Nvidia’s Vera Rubin platform.
CHINA
China held its benchmark lending rates unchanged for an 11th straight month, as escalating Middle East tensions drove energy prices higher and weighed on the growth outlook.
The CSI 300 index in Shanghai moved forward 28.77 points, or 0.6%, to 4,757.44.
The decision came after the world’s second-largest economy grew 5% in the first quarter, accelerating from 4.5% in the prior quarter, and at the top end of its full-year target range. Beijing lowered its growth target for 2026 to a range of 4.5% to 5%, the least ambitious goal on record since the 1990s.
In other markets
In Taiwan, the Taiex recovered 154.46 points, or 0.4%, to 36,958.80
South Korea’s Kospi bounced 27.17 points, or 0.4%, to 6,219.09
In Singapore, the Straits Times Index added 6.14 points, or 0.1%, to 5,004.07.
In Australia, the AZX 200 poked ahead 6.36 points, or 0.1%, to 8,953.29.
In New Zealand, the NZX 50 gained 9.78 points, or 0.1%, to 12,915,45.
