Asia-Pacific Markets Mixed Amid Iran Tensions, Oil Price Surge
Asia-Pacific market news was mixed as Japan's Nikkei headed for its worst week in over a month due to rising oil prices and high bond yields.
The surge in oil prices, which held near recent highs in steady trade, was driven by escalating tensions with Iran. President Trump stated that Iran is 'in bad shape' with inflation running near 300% and a currency he called virtually valueless, reiterating that Tehran will not be allowed a nuclear weapon.
A senior Iranian official revealed plans for an economic warfare campaign targeting Gulf oil bypass terminals and the Strait of Hormuz shadow fleet, aimed at driving up US pump prices ahead of November's midterm elections. Against this backdrop, investors continued to hedge against US fiscal credibility concerns by buying gold and Bitcoin.