Asian Markets Plummet as Middle East Tensions Escalate Oil Prices
Tensions in the Middle East have pushed oil prices higher as Houthi attacks on Saudi Arabia's oil facilities and utilities escalated. Asian shares and US futures declined accordingly, with major exporters in Tokyo's Nikkei 225 being sold due to a surge in the value of the Japanese yen.
The Nikkei 225 gave up early gains, sinking 1.7% to 65,269.33, while Toyota Motor Corp. shed 4.1% and electronics maker Panasonic Holdings Corp. fell 5.8%. The US dollar slipped to 153.73 Japanese yen from 154.34 yen.
Despite a slightly faster annual economic growth rate in Japan's April-June quarter at 1.4%, the revision reflects stronger business investment than earlier reported, though overall investment still contracted at minus 0.9%.
Brent crude added 1.4% to $98.40 a barrel and US crude surged 2.6% to $93.88 a barrel as tensions simmered in the six-month US war with Iran.