Asian stock markets continued their recovery on Wednesday, building on Tuesday’s gains as US President Donald Trump stepped up efforts to ease tensions in the Middle East with Iran.
Major indices moved higher across the region. Japan’s Nikkei 225 jumped 2.85% to around 53,730, China’s Shanghai Composite rose 1% near 3,920, Hong Kong’s Hang Seng gained 0.4% to about 25,155, and India’s Nifty 50 surged 2.14% close to 23,400.
According to a Reuters report, Trump has proposed a one-month ceasefire with Iran along with a broader 15-point plan, signaling serious attempts to reduce conflict in the region. His earlier move to pause military strikes on Iran’s power infrastructure for five days also helped improve market sentiment and encouraged a risk-on mood.
Oil prices reacted to the developments, with WTI crude trading near $88 per barrel, up about 1% on the day but still down nearly 10% from recent highs of $100. The softer trend in oil prices is supporting Asian markets, as many economies in the region depend heavily on oil imports.
However, uncertainty remains. Iran has denied engaging in direct talks with the US, despite Trump’s claims that a deal is close. Iranian officials have also dismissed Washington’s ceasefire efforts, suggesting the US is negotiating without real progress from Tehran.
For now, easing geopolitical concerns and stable oil prices are helping Asian equities stay on a positive path, though the situation remains sensitive to further developments.
