Global stock markets weakened as a renewed spike in energy prices unsettled investors.
The price of Brent crude surged 4.93% to above $85 a barrel before easing overnight by more than $1 after reaching its highest level since the summer of 2024.
Traffic through the Strait of Hormuz remained extremely limited on Wednesday, with just five vessels passing through the key shipping channel, according to data from Windward. Meanwhile, London-listed stocks slipped while oil prices continued to climb on Thursday.
Asian equities were mixed following a modest pullback on Wall Street, as the conflict involving Iran entered its seventh day. Overnight, Israel carried out airstrikes targeting the capitals of Iran and Lebanon.
In Asian trading, South Korea’s KOSPI fell 0.8% to 5,536.40 after a volatile week that saw the benchmark plunge 12% on Wednesday before rebounding nearly 10% on Thursday. The index had previously climbed above 6,000 in recent weeks before the outbreak of war rattled financial markets.
Japan’s Nikkei 225 rose 0.4% to 55,518.63. In Hong Kong, the Hang Seng Index gained 1.6% to 25,713.49, while China’s Shanghai Composite edged 0.1% higher to 4,113.70.
Elsewhere in the region, Australia’s S&P/ASX 200 declined 1.1% to 8,845.30. Taiwan’s TAIEX slipped 0.4%, while India’s BSE Sensex fell 0.6%.
Oil prices later pulled back slightly on Friday after a week of sharp gains. Brent crude fell 1% to $84.59 per barrel after touching $85.41 the previous day, as concerns over production and supply disruptions linked to the conflict remained elevated.
On Wall Street, the S&P 500 dropped 0.56% on Thursday. The Dow Jones Industrial Average fell 1.6%, while the Nasdaq Composite declined 0.3%.
