Markets Drop Across Asia Following Wall Street’s Steepest Decline Since Iran Conflict

Financial markets across Asia declined Friday morning after U.S. stocks experienced their sharpest fall since the Iran war began. Uncertainty over potential peace negotiations between Washington and Tehran has created volatility in global markets.

HONG KONG — Financial markets throughout Asia experienced widespread declines Friday morning following Wall Street’s steepest single-day drop since the Iran conflict commenced, as investors expressed growing skepticism about potential peace talks.

Japan’s Nikkei 225 benchmark declined 1.2% to reach 52,982.86 during morning trading sessions. South Korea’s Kospi experienced a more severe drop of 3.1%, falling to 5,293.26.

Hong Kong’s Hang Seng index decreased 0.1% to 24,825.50, though China’s Shanghai Composite managed a slight gain of 0.1% to 3,893.21.

Australia’s S&P/ASX 200 declined 0.5%, while Taiwan’s Taiex traded 1.5% lower.

Thursday’s trading session on Wall Street marked the most significant decline since the Iran war’s beginning, with the S&P 500 dropping 1.7% to 6,477.16 — its steepest fall since January. The Dow Jones Industrial Average decreased 1% to 45,960.11. The Nasdaq composite experienced a 2.4% decline to 21,408.08, placing it 10% beneath its recent peak, which qualifies as a market “correction.”

Market volatility this week has been driven by speculation regarding potential diplomatic negotiations between Washington and Tehran.

Following Thursday’s market close, President Donald Trump announced he would delay a planned strike on Iran’s energy infrastructure and extended until April 6 his deadline for Iran to reopen the Strait of Hormuz, a vital passage for global oil and gas shipments.

Skepticism about a potential conflict resolution intensified after Iran declined a U.S. ceasefire offer and presented an alternative proposal, while the United States continued deploying additional military personnel to the region.

Energy prices continued their downward trend Friday despite earlier increases. Brent crude futures, the global benchmark, dropped 1.1% to $100.77 per barrel after trading above $102 on Thursday.

U.S. benchmark crude oil fell 1.3% early Wednesday to $93.30 per barrel.

Precious metals saw gains in early Friday trading, with gold prices rising 1% to $4,420.70 per ounce. Silver increased 1.6% to $69.04.

Currency markets showed the U.S. dollar weakening to 159.56 Japanese yen from 159.81 yen. The euro strengthened to $1.1539 from $1.1527.