Asia-Pacific markets fall as Trump’s Iran warning stokes fresh oil supply fears

A general view of the Hong Kong skyline in fog on March 29, 2026 in Hong Kong, China.

Sawayasu Tsuji | Getty Images News | Getty Images

Asia-Pacific markets fell Monday as investors weighed renewed geopolitical tensions after U.S. President Donald Trump warned Iran to “get moving, FAST,” raising fears of further escalation in the Middle East and potential disruptions to global oil supplies.

In a post on Truth Social, Trump on Sunday said “the Clock is Ticking” for Iran and warned there “won’t be anything left” if action was not taken soon, adding that “TIME IS OF THE ESSENCE!” He did not elaborate on the steps he wanted Iran to take or the consequences that could follow.

Oil prices advanced more than 1%. International benchmark Brent crude futures for July gained 1.34% to trade at $110.72 per barrel. U.S. West Texas Intermediate futures for June advanced 1.75% to $107.26 per barrel.

In Australia, the S&P/ASX 200 fell 0.76%.

Japan’s Nikkei 22 lost 0.2%, while the Topix added 0.1%. South Korea’s Kospi and small-cap Kosdaq fell more than 2%.

Yields on the Japanese 10-year government bond jumped over 8 basis points to 2.785%, extending selloff on the back of a rise in global bond yields as inflation fears mounted.

Hong Kong’s Hang Seng index futures were at 25,733, lower than the index’s last close of 25,962.73.

Tensions between Washington and Tehran have remained elevated despite a fragile ceasefire reached in early April. The U.S. has continued its blockade of Iranian ports, while Iran has kept the Strait of Hormuz shut since the conflict began.

U.S. stock futures were little changed following a record-setting week, with traders awaiting quarterly results from Nvidia and major U.S. retailers.

Dow Jones Industrial Average futures slipped 100 points, or 0.2%. S&P 500 and Nasdaq-100 futures hovered around the flatline.

Last week on Wall Street, the major indices closed lower on Friday, weighed down by losses in technology stocks and a rise in U.S. Treasury yields after a summit between President Donald Trump and Chinese President Xi Jinping ended without major policy breakthroughs, leaving traders worried.

The S&P 500 shed 1.24% to end at 7,408.50, while the Nasdaq Composite slipped 1.54% to 26,225.14. The Dow Jones Industrial Average was down 537.29 points, or 1.07%, and closed at 49,526.17.

Investors took profits in tech after the group saw sharp gains recently. Notably, Intel retreated more than 6%, while Advanced Micro Devices and Micron Technology lost 5.7% and 6.6%, respectively. Nvidia dropped 4.4%, while Cerebras Systems — which surged 68% Thursday after it began trading on the Nasdaq — shed 10%.