How are Asian markets reacting to the Iran-US talks progress?

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Asian Markets Show Gains Amidst Progress in Iran-US Peace Talks

Asian share markets experienced an upward trend on Monday, driven by reports of progress in peace talks between Iran and the United States. Negotiators from Iran indicated that advancements had been made, fostering a more optimistic sentiment across the region. This development provided a counterbalance to earlier concerns about the potential breakdown of these crucial discussions.
Positive Market Movements Across Asia

The positive sentiment stemming from the Iran-US talks was reflected in significant gains across several key Asian markets. Japan's Nikkei index surged by 1.9 per cent, building on its strong performance from the previous week, which saw it climb nearly 8 per cent to reach all-time highs. South Korea's market, described as "red-hot," also saw a substantial increase, adding another 2.6 per cent after a remarkable surge of over 11 per cent in the preceding week, largely fueled by demand for semiconductor stocks.
Broader Regional Index Performance

Beyond individual national markets, the broader regional indices also indicated positive movement. MSCI's broadest index of Asia-Pacific shares, excluding Japan, recorded a gain of 1.0 per cent. In contrast, Chinese blue-chip stocks remained flat, showing a divergence in performance compared to other major Asian economies.
Impact on Oil Prices and Commodities

The news of progress in the peace talks also had a noticeable effect on commodity markets. Brent crude futures saw an easing of their earlier gains, settling at US$80.17 a barrel, a decrease of 0.4 per cent. This movement suggests that the de-escalation of geopolitical tensions can influence energy prices. Gold, another significant commodity, experienced a bounce, rising 1.1 per cent to US$4,205 an ounce, indicating a potential shift in investor preference towards safe-haven assets amidst improved diplomatic outcomes.

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How are Asian markets reacting to the Iran-US talks progress?

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