A view of missile traces launched from Yemen at Israel sighted in the sky over Hebron, West Bank, on March 28, 2026.
Wisam Hashlamoun | Anadolu | Getty Images
Asia-Pacific markets were mixed on Tuesday, with South Korea leading losses, as rising crude oil prices and the raging Middle East conflict keeps investors on edge.
U.S. President Donald Trump escalated his threat on Monday, saying that the U.S. would destroy Iran’s electricity-generating plants, oil wells and Kharg Island, if the strategically vital Strait of Hormuz remains closed and no peace deal is reached to end the war.
His remarks came as the Iran war entered its fifth week and as the Trump administration weighs sending in ground forces to seize Kharg Island, a major fuel hub that facilitates 90% of Iran’s crude exports.
Shipping traffic through the Hormuz waterway, through which a fifth of the global seaborne oil used to transit before the conflict, has virtually ground to a halt since U.S. and Israel launched strikes on Iran on Feb. 28.
The West Texas Intermediate rose 2.8% to $105.8 per barrel. May futures for the International benchmark Brent crude surged 2% to $115.17 per barrel.
South Korea’s blue-chip Kospi led losses in Asia, dropping 1.53% while the small-cap Kosdaq lost more than 1.51%.
The Korean won depreciated 0.57% to 1,525.6 against the U.S. dollar, hitting its weakest level since 2009.
Japan’s Nikkei 225 dropped 0.13%, while the broad-based Topix reversed earlier losses to trade 0.18% higher.
Australia’s S&P/ASX 200 tumbled 0.86%.
Hong Kong Hang Seng index was up 0.53%, while the mainland Chinese CSI 300 was 0.4% higher.