The large display in the stock exchange shows various stock market prices. (is associated with: «Japan, South Korea stocks surge after US-Iran framework agreement») Daniel Reinhardt/dpa
Stock markets in Japan and South Korea surged on Monday after the United States and Iran reached a framework agreement that includes the reopening of the Strait of Hormuz, easing concerns over global energy supplies.
Japan’s benchmark Nikkei 225 index rose 4.6% in early trading, while South Korea’s KOSPI gained 5.8%.
Oil prices fell sharply as traders reacted to the prospect of renewed shipping through the strategic waterway. Brent crude for August delivery was down about 4.2% at $83.60 a barrel (159 litres) in early trading.
According to US President Donald Trump, the framework agreement provides for the full reopening of the Strait of Hormuz after the deal is signed on Friday.
The waterway, which was closed during the Iran war, is a vital route for exports of oil and liquefied natural gas from the resource-rich Gulf region.
AloJapan.com