Asia stocks mixed as oil jumps on Hormuz tensions; Wall St gains

Asian stocks were mixed Tuesday as oil prices climbed and U.S. equities advanced, with markets tracking a U.S. deadline for Iran to reopen the Strait of Hormuz to all shipping. Benchmark U.S. crude traded at $112.66 a barrel. The S&P 500 added 0.4%.

In Tokyo, the Nikkei 225 slipped 0.2% to 53,310.30. Australia’s S&P/ASX 200 rose 1.5% to 8,706.90. South Korea’s Kospi was nearly flat at 5,445.80. The Shanghai Composite gained 0.4% to 3,896.98. Markets in Hong Kong were closed for a holiday.

On Wall Street, the S&P 500 rose 29.14 points to 6,611.83. The Dow Jones Industrial Average increased 165.21 points to 46,669.88, and the Nasdaq composite advanced 117.16 points to 21,996.34. The 10-year Treasury yield held at 4.33%, above its 3.97% level before the war.

Energy prices moved higher. U.S. crude rose $2.37 to $114.78 a barrel, while Brent, the global benchmark, increased $1.40 to $111.17. Both remain well above roughly $70 before fighting began.

The Strait of Hormuz, which handles about one-fifth of global oil shipments, remains a focus. President Donald Trump has set a deadline for Iran to reopen the waterway to all traffic or face strikes on power plants and bridges. Iranian and Omani officials have discussed a mechanism to administer traffic through the strait.

On Monday, Iran rejected the latest cease-fire proposal and called for a permanent end to the war.

A daily note from Mizuho Bank’s research team in Singapore described ‘an escalation cycle that has now been extended several times since his first ultimatum in late March,’ adding that ‘hopes of a complete resolution to the conflict remains elusive while countries continue to work on bilateral solutions.’

In currencies, the dollar rose to 159.89 Japanese yen from 159.62. The euro eased to $1.1529 from $1.1543.