Commercial vessels are pictured offshore in Dubai on March 11, 2026.
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Asia-Pacific markets opened lower Friday as oil prices soared on renewed fears that a prolonged conflict in the Middle East could further crimp energy supplies, stoking fears of a global economic downturn.
Iran’s new Supreme Leader Mojtaba Khamenei said in a late Thursday speech that the Strait of Hormuz, a vital artery for global oil trade, should remain shut and that Tehran could open other fronts in the war if the conflict persists.
Commander of the Iranian Revolutionary Guard Corps Navy, Alireza Tangsiri, also doubled down on the threat in a social media post, warning of “the harshest blows to the aggressor enemy.”
Bettors on prediction market Kalshi raised their wagers that the U.S. economy may enter a recession this year, with the likelihood climbing to 32% — highest level this year.
International benchmark Brent crude jumped 9.22% to close at $100.46 per barre on Thursday. It was the first time Brent closed above $100 since August 2022. U.S.West Texas Intermediate futuresrose 9.72% to settle at $95.73.
U.S. President Donald Trump sought to downplay the rise in oil prices, saying that the U.S., as the world’s largest oil producer, stands to benefit from higher oil prices, while stressing that his priority would be blocking Iran from obtaining nuclear weapons.
Australia’sS&P/ASX 200 tumbled 0.3% in early Asia trade.
Japan’s Nikkei 225 dropped 2% while the broad-based Topix fell 1.4%.
South Korea’s blue chip Kospislumped almost 3% and the small-cap Kosdaq shed nearly 2%.
Hong Kong’s Hang Seng index was set to open lower, with futures last trading at 25,467, compared with the index’s previous close of 25,716.76.
Overnight in the U.S., major stock indexes notched closing lows for 2026, with Dow Jones Industrial Averagefalling nearly 740 points to settle below 47,000 for the first time this year.
TheS&P 500shed 1.5% to end the session at 6,672.62, while theNasdaq Compositelost 1.8% to close at 22,311.98.
Futures tied to the 30-stock Dow inched down 0.03%. S&P 500 futuresadvanced 0.21%, whileNasdaq 100 futuresadded 0.12%.
Investors await key U.S. inflation data. Reuters-polled economists forecast PCE price index, due to be released on Friday, to have risen 2.9% in January, and the core PCE index is expected to have accelerated to 3.1%.
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