Asian Markets Slide as US Strikes Iranian Rocket Launchers, Oil Prices Soar

Asian shares and US futures declined on Monday as investors anticipated an interest rate hike from the Federal Reserve. The region's markets followed a speech by Fed Chairman Kevin Warsh, who reinforced expectations of tighter monetary policy to combat inflation.

The Trump administration's decision to strike Iranian rocket launchers in the Strait of Hormuz over the weekend also contributed to the market volatility. Oil prices surged about 3% as Brent crude rose to $90.61 per barrel and US benchmark crude jumped to $85.66 per barrel.

Stephen Innes of SPI Asset Management noted that 'the Middle East had finally gone quiet enough for oil traders to start sanding some of the war premium out of crude' before the recent escalation.