Oil prices rise and Asian shares fall over Iran war concerns

Asian stock markets recorded losses on Thursday as crude oil prices jumped on fears of potential energy market inflation. Euronews and Yahoo Finance UK both reported that the price increases follow reports that United States President Donald Trump is considering further strikes on Iran ahead of next month's United States midterm elections. The United States and Iran have not reached a deal to end their war. [1][4]

The latest market drop comes after Wall Street's S&P 500 and Nasdaq indices retreated from record highs. As FTMQ News reported earlier, American stock markets closed lower on Wednesday while national average gas prices in the United States reached 4.37 dollars a gallon. [1][9]

The military conflict and the closure of the Strait of Hormuz have led to what the International Energy Agency characterized as the largest supply disruption in the history of the global oil market. The conflict has caused acute energy supply shortages, currency volatility, and increased inflation risks across global markets. [7][9]

Diplomatic and military tension remains high following the start of the conflict. Supreme Leader Ayatollah Ali Khamenei was killed on 28 February 2026 during coordinated United States and Israeli airstrikes on his compound in Tehran, after which his son Mojtaba Khamenei was appointed as the third Supreme Leader. [8]