Asian equities bounced sharply on Tuesday after the previous session’s oil-driven selloff, as hopes of a shorter Middle East conflict helped restore some risk appetite. South Korea’s Kospi surged as much as 6.6%, while Japan’s Nikkei 225 rose about 2.7% and the broader Topix gained roughly 2.8% in Reuters’ market report. The rebound followed a turbulent start to the week, when crude spiked on fears that the U.S.-Israel war with Iran could severely disrupt global energy supplies.
Investor sentiment improved after President Donald Trump said the conflict could be “over soon,” easing immediate fears of a prolonged war and a deeper oil shock. Still, Reuters noted that Iran’s military pushed back against the idea of a quick resolution, meaning volatility could remain elevated even as markets attempt to recover.
Source: Reuters.
Asian markets came under renewed pressure as surging oil prices and Middle East supply fears deepened concern over inflation and growth. Reuters reported that Japan’s Nikkei fell 7.0%, adding to a 5.5% loss last week, while South Korea’s market dropped 8.2% after already losing more than 10% the previous week. China’s blue-chip index was also lower, falling 1.7%, even though the country has a larger crude stockpile than many regional peers.
The selloff highlights how vulnerable Asia remains to an energy shock, especially in major importing economies such as Japan and South Korea. Reuters also cited RBC Capital Markets’ Helima Croft, who warned that markets are facing the most severe oil supply disruption in decades, with no clear timeline yet for whether the conflict will last weeks or months.
Source: Reuters.
Updated market pricing showed a sharp risk-off move at the start of the week as the Middle East conflict pushed oil above $100 a barrel. By Sunday evening U.S. trading, S&P 500 futures were down 1.7% at 6,632.75, Nasdaq 100 futures had fallen 1.8% to 24,234.0, and Dow futures were lower by 1.7% at 46,696.0. In energy markets, Brent crude rose to about $117.65 and WTI to $116.62 at one stage on Monday, after both contracts briefly surged near $119.50. The move deepened concerns that a renewed oil shock could keep U.S. inflation elevated and add pressure to growth, especially after Wall Street had already ended last week lower, with the Dow down about 3%, the S&P 500 down 2%, and the Nasdaq Composite down 1% for the week.
Source: Reuters, Investing.com.
U.S. stocks finished Friday sharply lower, with the Nasdaq underperforming as selling pressure intensified into the close.
Close snapshot:
Source: Major U.S. equity index pricing (close snapshot)
Asian markets closed Friday with a split tone—Japan and Hong Kong led gains, while India underperformed.
Close snapshot:
Source: Major Asian equity index pricing (close snapshot)
Asian equities were mixed on Friday, but most major markets remained on track for steep weekly losses, reflecting sustained risk aversion.
Source: Exchange data; market pricing
U.S. equity futures recovered in Friday trade after Thursday’s selloff, while oil pulled back and safe-haven metals strengthened following the latest U.S. update on the war situation.
Snapshot levels:
Source: Futures and commodities market pricing (snapshot)
Asian equities showed a modest recovery in Friday trade, with most major benchmarks turning higher after the recent risk-off swing.
At the time of the update:
Source: Major Asian equity index pricing
European equities closed sharply lower on Thursday, with broad-based declines across major benchmarks. At the close:
The synchronized drop points to a clear risk-off close across Europe, with Germany and Italy among the weakest.
Source: Major European equity index pricing
U.S. stocks finished Thursday lower, with selling pressure heaviest in the Dow. At the close:
The move signals a broader risk-off close, with blue chips underperforming the tech-heavy Nasdaq.
Source: Major U.S. equity index pricing
Chinese equities traded higher after Beijing set a 2026 GDP target of 4.5%–5%, below last year’s 5%, while signaling continued policy support. The government also kept a 2% CPI target and a fiscal deficit target of 4% of GDP, pointing to a still-supportive macro stance even with a softer growth goal.
Latest available levels show the earlier rally cooled from the user-provided moves: the CSI 300 was around 4,724.30 (+0.11%), the Shanghai Composite at 4,104.41 (+0.54%), and the Hang Seng at 25,425.00 (+0.70%).
Source: Government Work Report of China; Reuters; Investing.com.
Japan stocks rebounded with financials in focus: the Nikkei 225 was around 55,177 (+1.72%) and TOPIX rose to 3,702.67 (+1.90%) as local bank stocks firmed alongside higher U.S. Treasury yields.
Elsewhere in the region:
Australia’s gains were capped by dividend mechanics in heavyweight miners: BHP went ex-dividend on March 5 (ASX), and Rio Tinto also had an ex-dividend date of March 5, weighing on price action even as the broader tape improved.
Source: Investing.com; Reuters-context market wrap via Investing.com; BHP investor dividend schedule; Rio Tinto financial calendar.