Oil prices, Brent and WTI, saw significant monthly declines in June, dropping over 20%, as traders monitored potential US-Iran talks in Qatar. The mixed messages regarding these talks underscore the fragility of an interim peace deal reached earlier this month, which paused fighting impacting global oil flows through the Strait of Hormuz.
Asia-Pacific markets traded mixed on Wednesday as investors weighed US military strikes in Iran, the fragile US-Tehran ceasefire, and optimism for a potential deal, with the Nikkei 225 closing flat, Kospi rising 2.52%, and Hang Seng declining 1.03%.
Asian markets reversed early gains to close lower as the U.S. military intercepted at least three Iranian oil tankers in Asian waters near India, Malaysia and Sri Lanka, heightening uncertainty about the Middle East conflict. Japan and South Korea indices earlier hit record highs after President Trump extended a ceasefire with Iran, but investor confidence wavered. Oil prices extended gains with WTI rising 1.60% to $92.96 per barrel.
