Asian stock markets delivered a mixed performance on Thursday. This came after comments from US President Donald Trump about Iran. President Trump stated he received information indicating Iran had halted execution plans. The news created uncertainty across financial markets.
Market Movements Across Asia
Hong Kong's Hang Seng Index gained 76 points. This represented a modest increase of 0.28 percent. The index closed at 26,923 points. Japan's Nikkei 225 experienced a significant decline. It plunged 230 points, falling 0.42 percent to 54,110.
Mainland Chinese markets showed divergent trends. The Shanghai Composite Index ended down 0.33 percent. Meanwhile, the Shenzhen Component Index finished up 0.41 percent. South Korea's Kospi performed strongly. It jumped 1.5 percent, gaining 74 points during the session.
Sharp Decline in Oil Prices
Oil markets witnessed substantial selling pressure. US benchmark crude oil dropped sharply. It fell by two dollars per barrel, representing a 3.4 percent decline. The price settled at $59.75.
Brent crude, the global benchmark, followed a similar pattern. It declined by $2.31 per barrel. This amounted to a 3.5 percent decrease. Brent crude finished trading at $64.21.
Corporate Developments and US Futures
Toyota Industries shares surged in Tokyo trading. The stock rose 6.2 percent following corporate news. Reports indicated Toyota Motor increased its buyout offer. The new offer reached 18,800 yen per share, equivalent to $118.61.
US stock futures showed minimal movement. The S&P 500 futures edged up less than 0.1 percent. Dow Jones Industrial Average futures dipped slightly, also less than 0.1 percent.
Wall Street's Previous Session Performance
US markets closed lower on Wednesday. This marked the second consecutive day of declines. The S&P 500 index fell 0.5 percent. The Dow Jones Industrial Average slipped 0.1 percent. The Nasdaq composite dropped a full 1 percent.
Technology Sector Under Pressure
Big Tech stocks led the market decline. This occurred despite most shares on Wall Street advancing. The technology sector faced selling pressure. Investors pulled back from the artificial intelligence rally. Some critics warned about stretched valuations.
Nvidia shares declined 1.4 percent. Broadcom fell more significantly, dropping 4.2 percent.
Banking Stocks Weaken
Financial institutions also faced challenges. Wells Fargo sank 4.6 percent. The bank reported quarterly results that missed expectations. Both profit and revenue fell short of analyst forecasts.
Bank of America declined 3.8 percent. Citigroup dropped 3.3 percent during the session.
Energy Sector Provides Support
Energy stocks offered some stability to the broader market. Exxon Mobil gained 2.9 percent. Chevron rose 2.1 percent amid the market volatility.
Safe-Haven Assets in Focus
Investors continued seeking safer investments. Geopolitical uncertainties remained elevated. Gold prices slipped 0.8 percent on Thursday. However, they stayed close to previous record levels.
The bond market reflected this cautious sentiment. The yield on the US 10-year Treasury fell to 4.14 percent. This represented a decline from 4.18 percent late Tuesday. Bond prices move inversely to yields, indicating increased demand.
Currency Market Movements
In early Thursday trading, the US dollar strengthened against the Japanese yen. It rose to 158.63 yen from 158.46 yen. The euro weakened slightly against the dollar. It fell to $1.1636 from $1.1645.
Market participants monitored these developments closely. The mixed signals from Asia, combined with geopolitical comments and oil price movements, created a complex trading environment. Investors balanced corporate earnings, sector rotations, and global uncertainties as they positioned their portfolios.
