Stock market prices in East Asia rose sharply after the announced ceasefire in Iran. Economies are heavily dependent on oil supplies via the Strait of Hormuz.
The Japanese leading index Nikkei 225 ultimately rose by 5.39 percent to 56,308.42 points on Wednesday. The South Korean KOSPI was finally up 6.87 percent at 5,872m34 units.
Due to the strong price movement, the South Korean stock exchange even temporarily suspended trading in order to dampen the extreme volatility. The Australian S&P ASX 200 also started the trading day positively with an increase of almost three percent.
The markets are reacting primarily to the recent statements by Iranian Foreign Minister Abbas Araghchi that the Strait of Hormuz would be opened during the ceasefire. The oil price for a barrel of North Sea Brent for delivery in June fell significantly below the $100 mark (86 euros).
East Asian economies are heavily dependent on oil supplies via the previously virtually closed Strait of Hormuz off Iran. The leading indices of the Japanese and South Korean stock exchanges have fallen sharply due to the Iran war. They are currently five and seven percent below the level at the end of February, i.e. before the start of the Iran war.
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SEOUL/TOKYO (dpa-AFX)
