South Korea’s Kospi reached a new high on Tuesday following the resumption of trading after a public holiday, buoyed by investor optimism regarding potential advancements in the U.S.-Iran peace negotiations. President Donald Trump stated on Monday that negotiations with Iran were “proceeding nicely,” while cautioning that the U.S. might resume attacks should the discussions falter. Oil prices exhibited a varied response following Trump’s remarks. International benchmark Brent futures for July rose 2.78% to $98.81 per barrel, while West Texas
Intermediate futures for July declined by 4.42%, settling at $92.33 per barrel as of 3:30 a.m., in contrast to Friday’s closing price. There was no WTI price settlement on Monday because of the U.S. Memorial Day holiday, according to reports.

Highlighting the fragile dynamics of the Washington-Tehran relationship, the U.S. Central Command executed “self-defense strikes” aimed at Iranian missile launch sites and vessels attempting to deploy mines in the southern region of the Islamic Republic. Meanwhile, Tehran seems to be exhibiting signs of hesitation regarding the Strait of Hormuz, as noted by former CIA Director David Petraeus in his remarks on Monday. South Korea’s Kospi was 2.55% higher at 8,047.51, after rising to a record high of 8,131.15 in intraday trade. The small-cap Kosdaq reduced its gains, concluding the session with an increase of 0.98%.

Japan’s Nikkei 225 concluded Tuesday’s trading with a decline of 0.25%, settling at 64,996.09, as investors engaged in some profit-taking activities. Meanwhile, the Topix experienced a slight decrease, finishing at 3,938.46. The Nikkei 225 surpassed 65,000 for the first time on Monday during holiday-thinned trading in Asia. The Bank of Japan’s Deputy Governor Ryozo Himino indicated that the timing of a rate hike remains under consideration, as the central bank continues to assess developments in the Middle East, as reported.

Australia’s S&P/ASX 200 experienced a decline of 0.39%, closing at 8,657.80. China’s CSI 300 increased by 0.53% to reach 4,947.85, whereas Hong Kong’s Hang Seng remained unchanged amid volatile trading conditions following a public holiday on Monday. India’s Nifty 50 slipped 0.23%, while the BSE Sensex declined 0.28%. S&P 500 futures experienced an increase of 0.78%, while Nasdaq-100 futures saw an advancement of 1.14%. Futures for the Dow Jones Industrial Average increased by 371 points, reflecting a rise of 0.73%. The U.S. stock markets experienced a closure on Monday in observance of the Memorial Day holiday.