War Clouds Investor Sentiment, Asia Mixed

Asia-Pacific markets traded mixed Wednesday, as escalating tensions between Israel and Iran weigh on investor sentiment.

Adding fuel to fire, U.S. President Donald Trump is mulling a military strike on Iran, while demanding the country’s leader Ayatollah Ali Khamenei “surrender,” former and current U.S. officials told NBC News.

Trump, in a post on Truth Social, demanded “UNCONDITIONAL SURRENDER!” by Iran.

In Japan, the Nikkei 225 rocketed 348.41 points, or 0.9%, to 38,885.15.

Japan exports in May declined 1.7% year on year, softer than the 3.8% decline expected by Reuters.

The data comes a day after the Bank of Japan highlighted in its monetary policy statement that the country’s growth was likely to “moderate” on the back of factors like trade, which would lead to a slowdown in overseas economies and a decline in domestic corporate profits.

In Hong Kong, the Hang Seng dropped 269.61 points, or 1.1%, to 23,710.69.

In other markets

In Shanghai, the CSI 300 recovered 4.59 points, or 0.1%, to 3,874.97.

In Korea, the Kospi index gained 21.89 points, or 0.7%, to 2,972.19.

In Taiwan, the Taiex index leaped 145.14 points, or 0.7%, to 22,356.73.

In Singapore, the Straits Times index deleted 9.83 points, or 0.3%, to 3,920.81

In New Zealand, the NZX 50 backtracked 12.03 points, or 0.1%, to 12,627.32.

In Australia, the ASX 200 lost 10.09 points, or 0.1%, to 8,531.17.