Asian stocks gain as oil prices drop, Middle East tensions ease
Asian stocks opened higher Friday, shaking off a sharp fall from the day before.
The MSCI Asia Pacific Index nudged up 0.3%, helped by lower oil prices and calmer vibes from the Middle East after recent energy strikes.
Investors seem more upbeat as worries about supply disruptions and inflation start to fade.
Israel-Iran conflict might end soon
The MSCI AC Asia Pacific Index has risen about 26.8% over the past 12 months, but recent outflows show investors are still a bit cautious.
With Israel saying its conflict with Iran could end sooner than expected, and the US confirming no ground troops will be sent, markets are breathing easier.
Plus, talk of lifting Iranian oil sanctions could help keep energy prices in check.
Gold and bond yields remain a concern
Analysts say markets are hoping for a ceasefire and less financial stress, even as inflation keeps bond yields high and gold takes a hit.
For now, easing tensions and lower oil prices are giving Asian stocks some much-needed relief.