Asia-Pacific Markets Rise as Traders Eye Developments on US-Iran Diplomacy Efforts

On Friday (22 May, 9:07 AM, GMT+7, Bangkok time), major indices in the Asia Pacific exhibited gains as optimism grew over ongoing diplomatic negotiations between the United States and Iran aimed at securing a peace agreement in the Middle East. Meanwhile, sentiment was shaped by reports that Tehran plans to retain its stockpile of enriched uranium within the country, which could present additional obstacles in discussions, as President Donald Trump has prioritized the dismantling of Iran’s nuclear capabilities as a key component of his administration’s stance toward Tehran. In Japan, core consumer inflation rate—the figure that excludes volatile fresh food prices—slowed in April to 1.4%. This marks the lowest reading since March 2022 and comes in below both the 1.7% consensus forecast and the previous month’s 1.8% level. Japan’s NIKKEI jumped by 2.10% to 62,979.15. South Korea’s KOSPI surged by 0.61% to 7,862.88, and Australia’s ASX 200 rose by 0.55% to 8,669.10. As for stocks in China, Shanghai’s SSEC grew by 0.29% to 4,089.17. Shenzhen’s SZI soared by 1.11% to 15,415.99, and Hong Kong’s HSI advanced by 0.53% to 25,521.31. The U.S. stock markets edged up on Thursday as the Dow Jones Industrial Average (DJIA) increased by 0.55% to 50,285.66. NASDAQ climbed by 0.09% to 26,293.09, and S&P 500 gained 0.17% to 7,445.72. VIX dropped by 3.90% to 16.76. As for commodities, oil prices settled lower on Thursday as uncertainty over a potential resolution of tensions involving the U.S., Israel, and Iran continued to weigh on market sentiment. Brent crude futures retreated by $2.44 to $102.58 per barrel, marking a 2.3% decline. U.S. West Texas Intermediate crude futures finished at $96.35, a drop of $1.90 or 1.9%. This morning, Brent futures expanded $1.82, or 1.77%, to $104.40 per barrel, and the WTI futures added $1.33, or 1.38%, to $97.68 per barrel. Meanwhile, gold futures lost 0.34% to $4,527.20 per Troy ounce.