Global market wrap: Asia markets cautious as oil rises amid Iran war uncertainty, gold extends losses

Asia-Pacific markets pared early gains on Tuesday as oil prices rebounded, highlighting continued uncertainty around the Middle East war. Regional markets initially opened higher, tracking Wall Street’s sharp rally after US President Donald Trump said talks with Iran on ending the war were “positive.” Gold extended its slide, with a stronger dollar and higher Treasury yields reducing the yellow metal’s allure.

We are back with quick updates about global stock markets and major developments across some of the top companies worldwide.

Stocks traded cautiously and oil prices edged higher in volatile trade on Tuesday, as US President Donald Trump’s decision to delay action against Iran’s power grid failed to ease investor concerns over the broader Middle East conflict. US Treasury yields moved up, and the dollar regained ground, reversing part of the relief rally seen overnight after Trump extended his Saturday ultimatum, giving Iran five more days to reopen the Strait of Hormuz following what he described as “productive” talks with Tehran.

South Korea’s Kospi jumped more than 3% in early trade before trimming gains to 2% at 5,553. Japan’s Nikkei 225 rose about 1.4% to close at 52,252. Australia’s S&P/ASX 200 was up 0.4% at 8,404. In Hong Kong, the Hang Seng index advanced 2.7% to 25,046, while Singapore’s Straits Times Index edged 0.7% higher to 0.7%.

Meanwhile, Brent crude futures for May rebounded over 1%% to $102 a barrel, while West Texas Intermediate rose 1.6% to $91.73. The rebound follows a sharp sell-off on Monday, when Brent tumbled nearly 11% to about $99 a barrel after surging past $112 on Friday.

Adding to supply concerns, Saudi Aramco, the world’s top oil exporter, has reportedly cut crude shipments to Asian buyers for the second consecutive month in April. The move follows disruptions to trade through the Strait of Hormuz amid the ongoing war. Aramco is supplying only Arab Light crude from its Red Sea port of Yanbu to term buyers, keeping supplies tight for Asian refineries and limiting their output. Saudi crude exports have also declined, with shipments averaging 4.355 million barrels per day so far in March, down from 7.108 million bpd in February, according to Kpler data.

Overnight in the US, stocks rallied, with all three major indexes closing Monday’s session up more than 1%. The Dow Jones Industrial Average surged 1.3% to close at 46,208. The S&P 500 gained 1.15% to end at 6,581, while the Nasdaq Composite rose 1.3% to settle at 21,946.76.

Meanwhile, gold prices traded flat on Tuesday, extending losses to a 10th straight session as a stronger US dollar and fading expectations of near-term Federal Reserve rate cuts weighed on the metal. Spot gold was trading at $4,411 an ounce as of 01:05 pm, taking its cumulative decline to about 22% over the past 10 sessions. In the previous session, prices had fallen to $4,097.99, the lowest level since November 24, before trimming some losses.

Here’s a look at some of the important developments across the global markets:

OpenAI flags Microsoft dependence as risk ahead of potential IPO

OpenAI has flagged its close relationship with Microsoft as a potential business risk in a document shared with prospective investors, stating that the software giant accounts for “a substantial portion” of its financing and computing resources.

The disclosure was reportedly made in a financial document, which includes sections titled “Risks Related to the Transaction” and “Risks Related to our Business.” The document was circulated as part of OpenAI’s recent record funding round. The risk factors offer an early look at what could appear in the company’s eventual IPO filing, as it prepares for a potential public market debut as soon as this year. In addition to its reliance on Microsoft, OpenAI highlighted concerns around heavy capital expenditure, dependence on computing infrastructure, and ongoing legal disputes involving Elon Musk’s xAI.

Australia, EU seal trade deal after eight years, cut tariffs on goods

Australia and the European Union signed a long-awaited trade agreement on Tuesday, concluding eight years of negotiations. The deal removes tariffs on nearly all European goods and on most Australian exports of critical minerals. The agreement follows intensified talks between the two sides amid higher US tariffs under the Trump administration and growing concern in Western countries over China’s dominance in rare earths and other key mineral supplies. Alongside the trade pact, Australia and the EU also signed an agreement to strengthen security and defence cooperation.

Asia inflation: Japan sees cooling prices, Singapore eyes energy risks

Japan’s inflation eased for a fourth straight month in February, while Singapore flagged rising risks from higher global energy costs amid the Middle East war.

Japan’s headline inflation slowed to 1.3%, the lowest since March 2022 and below the central bank’s 2% target. Core inflation eased to 1.6% from 2%, while the core-core measure edged down to 2.5%. The Bank of Japan expects core and core-core inflation at 1.9% and 2.2% in fiscal 2026.

Meanwhile, Singapore is bracing for renewed price pressures. The Monetary Authority of Singapore and the Ministry of Trade and Industry said rising global energy prices due to the Middle East war are likely to push up Singapore’s import cost in the near term. The central bank will review its outlook in April and currently sees inflation averaging 1% to 2% in 2026.

UAE calls Iran attacks in Strait of Hormuz ‘economic terrorism’

The United Arab Emirates condemned Iran’s attacks on shipping in the Strait of Hormuz, calling them “economic terrorism” that threatens global trade. Sultan Ahmed Al Jaber, chief executive of Abu Dhabi National Oil Company, said the targeting of the vital shipping route amounts to holding the world hostage. He added that weaponising the Strait affects all nations, not just one. The Strait of Hormuz is the world’s most critical oil transit route, accounting for about 20% of global oil and liquefied natural gas flows before the war.

Europe’s broadcasters urge EU to rein in big tech’s control over smart TVs

Europe’s leading broadcasters have urged the European Union to apply its strictest rules to smart TV platforms and voice assistants operated by Google, Amazon, Apple and Samsung. In a letter, the Association of Commercial Television and Video on Demand Services in Europe (ACT) said these companies are gaining increasing control over TV operating systems, allowing them to influence what content users see. Platforms such as Fire TV and Google TV use built-in recommendation and search tools that can prioritise certain content, shaping viewing choices. The group called on EU regulators to classify major TV operating systems as “gatekeepers” and ensure stronger oversight to maintain fair competition.