View of the Skytree from Ueno and Asakusa in Tokyo
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Asia-Pacific markets traded mixed Wednesday, as escalating tensions between Israel and Iran weigh on investor sentiment.
Adding fuel to fire, U.S. President Donald Trump is mulling a military strike on Iran, while demanding the country’s leader Ayatollah Ali Khamenei “surrender,” former and current U.S. officials told NBC News.
Trump, in a post on Truth Social, demanded “UNCONDITIONAL SURRENDER!” by Iran.
“Comments from President Trump have triggered speculation that the U.S. will get more involved in the conflict between Iran and Israel that escalated significantly five days ago,” ANZ analysts wrote in a note.
Japan’s benchmark Nikkei 225 added 0.9% to close at 38,885.15, and the Topix rose 0.77% to end the trading day at 2,808.35. South Korea’s Kospi climbed 0.74% to close at 2,972.19 and the small-cap Kosdaq was 0.53% higher at 779.73.
Japan exports in May declined 1.7% year on year, softer than the 3.8% decline expected by Reuters. The data comes a day after the Bank of Japan highlighted in its monetary policy statement that the country’s growth was likely to “moderate” on the back of factors like trade, which would lead to a slowdown in overseas economies and a decline in domestic corporate profits.
Australia’s S&P/ASX 200 lost 0.12% to close at 8,531.2.
Hong Kong’s Hang Seng index lost 1.12% to close at 23,710.69, while mainland China’s CSI 300 was up 0.12% to end the trading day at 3,874.97.
U.S. stock futures inched lower as traders brace for the Federal Reserve’s rate decision due Wednesday afternoon stateside.
Overnight on Wall Street, all three major averages ended the trading day lower. the Dow Jones Industrial Average lost 299.29 points, or 0.70%, to close at 42,215.80. The S&P 500 shed 0.84% to end at 5,982.72, while the Nasdaq Composite fell 0.91% and settled at 19,521.09.
— CNBC’s Sean Conlon and Brian Evans contributed to this report.
