Asia markets mixed amid Iran ceasefire doubts

May 12, 2026 (MLN): Asian markets ended mixed on Tuesday as investors largely brushed aside renewed uncertainty surrounding the fragile U.S.-Iran ceasefire after U.S. President Donald Trump warned the truce was on “massive life support.”

Trump on Monday questioned the durability of the ceasefire, saying the agreement appeared increasingly fragile after Tehran delivered what he described as an unacceptable response to Washington’s proposal aimed at ending the conflict.

“I would say the ceasefire is on massive life support,” Trump said, comparing the situation to a critically ill patient with little chance of survival, as reported by CNBC.

In regional markets, Japan’s Nikkei 225 gained 0.19%, while the broader Topix index advanced 0.27%.

South Korea’s Kospi reversed early gains and dropped more than 3% after hitting a record high in the previous session, while the small-cap Kosdaq declined over 4%.

Australia’s S&P/ASX 200 fell 0.82%, whereas Hong Kong’s Hang Seng Index rose 0.47%. Mainland China’s CSI 300 opened little changed.

Meanwhile, yields on Japan’s 10-year government bond climbed to 2.545%, marking the highest level since 1997, after minutes from the Bank of Japan showed some policymakers favored raising interest rates in the near term.

Despite persistent geopolitical concerns, elevated oil prices and inflation worries, global equities have continued to trend higher.

The investors are increasingly reluctant to react sharply to risks unless they significantly affect economic growth or corporate earnings.

In the United States, futures linked to the S&P 500 edged slightly higher, Nasdaq 100 futures added 0.1%, while Dow Jones Industrial Average futures gained 24 points.

Overnight on Wall Street, the S&P 500 rose 0.19% to close at a record 7,412.84, while the Nasdaq Composite added 0.1% to finish at an all-time high of 26,274.13.

The Dow Jones Industrial Average also climbed 95.31 points, or 0.19%, to settle at 49,704.47.

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