Asia Strengthens, Risks Loom
Asian stock markets rallied at the start of trading on Monday, buoyed by optimism in the technology sector and strong performance by major issuers. The MSCI Asia Pacific Index rose, with South Korea leading the gains due to positive sentiment toward the artificial intelligence sector.
Market sentiment was also boosted after Wall Street's major indexes reached new records at the end of last week. The S&P 500 and Nasdaq 100 closed at record highs, supported by stronger-than-expected earnings reports from major technology companies.
However, the market is still closely monitoring developments in the Middle East conflict. US President Donald Trump said the United States would begin guiding ships not involved in the conflict through the Strait of Hormuz. However, Iranian officials warned that US interference in the waterway could be considered a violation of the ceasefire.
Oil prices fell briefly but rebounded as supply uncertainty persisted. Brent crude returned above US$108 per barrel, while the US dollar weakened against most major currencies. The Japanese yen strengthened slightly after reports of intervention to support the currency.
Overall, the market still shows interest in risky assets, but investors remain cautious. Hopes for a US-Iran peace deal, strong corporate performance, and a resilient US economy are supporting factors, but the risks of expensive energy, high interest rates, and the economic impact of the conflict could continue to weigh on the market in the coming weeks. (asd)
Source: Newsmaker.id
