Asian stock markets rise, Iran concerns limit gains

Asian markets saw strong monthly gains in April, when equities rallied sharply on optimism around AI-related growth and easing fears after a temporary Iran-U.S. ceasefire

Asian stock markets rose in holiday-thinned trading on Friday, while investors cautiously monitored developments around the ongoing Iran-U.S. war.

Trading volumes were subdued, with major markets in China, Hong Kong, Singapore, and India closed for public holidays.

Nikkei 225 gained 0.6% on Friday, while the broader TOPIX index traded flat.

Gains were capped by elevated geopolitical risks. Reports indicated that the U.S. president was set to receive a briefing on potential options against Iran, stoking fears of further escalation.

Iran has threatened that any new U.S. attack would trigger “long and painful strikes” on American positions.

The Strait of Hormuz remained effectively shut, disrupting a vital route for global oil shipments and tightening supply expectations.

Brent crude had surged to more than $126 per barrel earlier on Thursday – its highest level in four years – before pulling back later in the day.

Asian markets saw strong monthly gains in April, when equities rallied sharply on optimism around AI-related growth and easing fears after a temporary Iran-U.S. ceasefire.

KOSPI rose more than 30% last month, while Nikkei surged more than 15%.

Shanghai Composite index jumped nearly 6% in April, and Nifty 50 advanced 7.5%.

Tokyo consumer inflation rose modestly in April, while underlying price pressures softened, keeping it below the Bank of Japan’s target and highlighting fragile demand conditions.

In related news, there was a strong U.S. session, where the S&P 500 and NASDAQ Composite hit new record highs, supported by upbeat corporate earnings and a pullback in oil prices.

After markets closed, technology company Apple reported quarterly results that beat expectations, lifting sentiment around technology stocks.