Reported from the source

Quick summary: Asia-Pacific markets saw a significant rebound on Tuesday, led by South Korea’s Kospi, following a sharp decline in oil prices. The market shift occurred after U.S. President Donald Trump indicated that the conflict with Iran might be nearing its conclusion. Oil prices fell over 10%, contributing to a bounce back on Wall Street overnight.

South Korea’s Kospi index opened more than 5% higher on Tuesday, spearheading a regional market rebound. This surge was primarily driven by a substantial fall in oil prices and a recovery on Wall Street, after U.S. President Donald Trump suggested the conflict with Iran could be nearing its end. Oil prices plummeted over 10% following Trump’s comments, including his consideration of seizing control of the Strait of Hormuz, a critical chokepoint for the global crude market. Trump also told a CBS News reporter that “the war is very complete, pretty much.” International Brent crude was down 10% to $8.90 per barrel, while U.S. crude oil fell over 9% to $86.05 per barrel. These declines came after oil prices had surged past $100 on Monday. Bob McNally, president of Rapidan Energy Group, noted that the closure of the Strait of Hormuz, which impacts 20% of the world’s oil supply, represents the “largest interruption ever,” surpassing the 10% disruption during the 1956 Suez Crisis. Other Asian stock indexes also posted gains: the Kosdaq added over 4%, Australia’s S&P/ASX 200 rose 1.35%, Japan’s Nikkei 225 jumped 1.66% (with the Topix gaining 1.3%), Hong Kong’s Hang Seng index was up 1.56%, and the CSI 300 rose 0.9%. Travel-related stocks also rebounded, with Air China rising nearly 3%, China Eastern Airlines adding 2.9%, China Southern Airlines gaining 2.85%, and Singapore Airlines increasing 1.54%. Overnight in the U.S., stocks advanced, marking an impressive turnaround from earlier losses. The S&P 500 rose 0.83% to close at 6,795.99, the Dow Jones Industrial Average added 239.25 points (0.5%) to end at 47,740.80, and the Nasdaq Composite jumped 1.38% to settle at 22,695.95. The Dow had been down nearly 900 points at its session low, while the S&P 500 and Nasdaq had dropped as much as 1.5% each.

Source: www.cnbc.com