Market UpdatesMar 26, 20262 Min

Global market wrap: Asia stocks mixed, oil rises, gold falls amid Middle East tensions

Asia-Pacific markets traded mixed on Thursday, as investors remained cautious after Iran signalled it has no plans to engage in direct talks with the United States, even while reviewing a proposed framework to end the war. Rising oil prices also added to the cautious mood.

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

Asian stocks struggled for direction on Thursday as investors stayed cautious amid fast-moving developments in the Middle East, where Iran said it would review a US proposal to end the war. The widening tensions have rattled global markets and pushed oil prices higher.

Markets across Asia were mixed in early trade. Japan’s Nikkei 225 lost 0.2% to 53,603, while South Korea’s Kospi fell 3.2% to 5,460. Hong Kong’s Hang Seng Index declined 1.8% to 24,856, and Singapore’s Straits Times Index gained 0.1% to 4,893. In Australia, the S&P/ASX 200 slipped 0.1% to end the session at 8,525.

Oil prices, meanwhile, rose on Thursday. International benchmark Brent crude rose 2.2% to $100.41 per barrel, while US West Texas Intermediate futures climbed 1.8% to $94.97 per barrel in the first half of the trading session.

Amid this backdrop, Iraq said its oil production has dropped due to the ongoing war. Output from southern fields has fallen nearly 80% to around 800,000 barrels per day, after already declining about 70% earlier this month as exports through the Strait of Hormuz were disrupted.

Concern over supply shortages are also intensifying in Europe. The chief executive of Shell, Europe’s biggest oil company, said that the region could face a serious energy crisis as soon as April if the Strait of Hormuz remains shut.

Gold prices declined in Asian trading. Spot gold fell 1.2% to $4,449 an ounce, while US gold futures slipped 1.9% to to $4,4632. Silver also moved lower, with spot prices dropping 2.4% to $69.38 per ounce.

In Dubai, gold prices were largely steady on Thursday morning as investors assessed developments around Middle East ceasefire talks. The 24K gold price stood at Dh544.50 per gram, while 22K, 21K, 18K and 14K were at Dh504.25, Dh483.50, Dh414.50 and Dh323.25 per gram, respectively.

Overnight in the US, markets closed higher, with the Dow Jones Industrial Average rising 0.6%, to 46,429. The S&P 500 gained 0.5% to finish at 6,591, while the Nasdaq Composite advanced 0.7% to close at 21,929.

Meanwhile, Wall Street forecasters are raising their recession expectations, citing the Iran war and rising inflation risks. Moody’s Analytics now sees a 48.6% chance of a US recession over the next 12 months, while Goldman Sachs has raised its estimate to 30%.

The outlook remains uncertain as prospects for a pause or resolution in the Middle East conflict are still unclear, despite fresh developments overnight.

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

Fertiliser supplies hit as Strait of Hormuz disruption deepens impact beyond oil

Along with disrupting oil and gas supplies, the Iran war has also hit global fertiliser markets, triggering sharp price increases and raising concerns over potential food insecurity. The war has severely impacted shipments through the Strait of Hormuz, a route that handles about one-third of the world’s seaborne fertiliser trade. Traffic through the waterway has largely stalled since the war began, with multiple vessels reportedly hit near the route. Fertilizer prices have surged in response to the supply shock. FOB granular urea prices in Egypt, a key benchmark for nitrogen fertilisers, have climbed to around $700 per metric ton, compared with $400 to $490 before the war.

Hyundai Motor plans to launch 36 new models in North America by 2030

Hyundai Motor said that it plans to launch 36 new models in North America by 2030, which it described as its most profitable market. The figure includes variants of each model, such as electric, hybrid and gasoline-powered versions. Hyundai currently sells 25 models in North America, including 20 in the US. Separately, the South Korean automaker said it aims to sell 500,000 vehicles annually in China as part of its medium-term plans, which is more than double its current volumes.

Hong Kong plans broader tax cuts for asset managers

Hong Kong is reportedly planning to revise its carried interest rules to allow asset managers to earn performance fees tax-free. A bill expected to be taken up soon by the Legislative Council would extend carried interest treatment beyond private equity to cover profits from a broader range of investments. This could allow hedge funds, venture capital, private credit firms and family offices to lower their tax liabilities. The move is aimed at strengthening Hong Kong’s position as a global financial hub and aligning it more closely with low-tax centres such as Dubai.

Nvidia-Backed Reflection eyes $25-billion valuation in new funding round

Reflection, a startup backed by Nvidia, is reportedly in talks to raise $2.5 billion at a valuation of $25 billion. The company is part of a small group of Nvidia-linked firms working to build open-source AI models that can be used and adapted by businesses, research labs and universities. The funding would support efforts to expand an open AI ecosystem designed to run on Nvidia chips and compete with emerging offerings from China. JPMorgan Chase is also in discussions to join the round through its Security and Resiliency Initiative, which backs companies in sectors tied to economic and national security.

Apple introduces age checks for iPhone users in the UK

Apple has begun rolling out age verification checks for iPhone users in the UK, requiring them to confirm they are over 18 to access certain services. The move follows pressure from the UK government on tech companies to strengthen online protections for children. The UK is the first market in Europe where Apple is introducing these controls, which are aimed at restricting access to apps rated for adults on its App Store. The rollout comes after new rules under the Online Safety Act prompted digital platforms, including social media and adult content sites, to introduce stricter age verification measures.

Meta cuts 700 jobs as AI push accelerates

Meta has reportedly laid off around 700 employees on March 25, as the Silicon Valley giant steps up its focus on artificial intelligence. Less than a day before the layoffs, the company introduced a new stock compensation plan for six senior executives that could raise their pay by up to $921 million each over five years. Meta said the move was a way to retain talent in the AI era. The layoffs come as Meta has been refocusing its efforts and investing heavily in AI as it seeks to close the gap with competitors such as OpenAI, Anthropic and Google.