Asian markets edge higher amid geopolitical uncertainty

July 13, 2026 (MLN): Asian markets traded mostly higher on Monday, even as investors assessed heightened geopolitical risks following fresh military exchanges between the United States and Iran over the weekend and Tehran's declaration that it had closed the Strait of Hormuz.

Japan's Nikkei 225 rose 0.28%, while the broader Topix gained 0.72%. South Korea's Kospi advanced 0.58%, and the small-cap Kosdaq outperformed with a 1.84% increase, according to CNBC.

Investor sentiment remained cautious after the latest escalation in the Middle East. Iran launched strikes targeting U.S. military facilities across several Gulf states and claimed it had shut the strategically vital Strait of Hormuz.

The move followed U.S. airstrikes on Iranian assets ordered by President Donald Trump after Iran attacked a commercial vessel transiting the waterway. Trump later disputed Tehran's claim, insisting the strait remained open to commercial shipping.

Oil prices moved sharply higher in response to the geopolitical developments. Brent crude futures climbed 3.7% to $78.86 per barrel, while U.S. West Texas Intermediate (WTI) crude gained more than 3% to $74.05 per barrel, showing concerns over potential disruptions to global energy supplies.

Market participants are closely monitoring the situation, with analysts warning that prolonged uncertainty surrounding the Strait of Hormuz could weigh on investor confidence.

However, many believe a sustained closure would be required before global energy markets face severe supply shortages.

Futures pointed to a mixed start across the region. Nikkei 225 futures traded around 68,965, above the benchmark's previous close of 68,557.73, while Australia's S&P/ASX 200 futures stood at 8,814, slightly above Friday's close of 8,806.

Hong Kong's Hang Seng futures also indicated modest gains, trading at 24,238 compared with the index's last close of 24,175.12.

U.S. stock futures, meanwhile, slipped as investors awaited a busy corporate earnings week. Dow Jones Industrial Average futures fell 0.3%, while S&P 500 futures declined 0.3% and Nasdaq-100 futures lost 0.5%.

The upcoming earnings season will be led by major U.S. banks, including JPMorgan Chase, Goldman Sachs, Morgan Stanley, Bank of America, Citigroup and Wells Fargo. Results from Netflix, Johnson & Johnson and UnitedHealth are also due this week.

Technology stocks are expected to remain in focus as investors assess whether artificial intelligence-related investment continues to support earnings growth and capital expenditure plans.

In the semiconductor sector, Samsung Electronics shares dropped more than 6%, while rival SK Hynix fell around 10%, showing pressure on Asian chipmakers despite Samsung's plans to accelerate the development of its first semiconductor fabrication plant at South Korea's Yongin Semiconductor National Industrial Complex.

The company intends to build six fabrication facilities as part of its long-term expansion strategy.Top of FormBottom of Form

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