Asia markets rise as investors gain optimism that a U.S.–Iran conflict may be nearing an end. The Tokyo Nikkei index leads a broader rally across regional stocks on Thursday, helped by improving risk sentiment tied to expectations that Washington and Tehran could reach conclusions that de-escalate the situation. The optimism also centers on the potential reopening of the Strait of Hormuz, which has been effectively closed since the start of March and has constrained oil flows, cutting off a significant share of global crude supply.
In parallel, oil prices fall further during the session, reflecting market expectations of reduced disruption to shipping and supply routes if tensions ease. The decline in oil is also linked to hopes that the conflict will end and trade routes will reopen.
Some coverage also highlights renewed demand expectations for artificial intelligence-related assets, citing support from AI demand themes alongside the geopolitical improvement. Overall, the reports describe coordinated moves in equities and oil driven primarily by changing expectations about Middle East developments and the associated impact on energy markets.
