Mixed Asia-Pacific Performance Amid Surging Oil Prices 📈

Asia-Pacific equity markets showed mixed results yesterday as geopolitical tensions between the U.S. and Iran pushed global energy benchmarks higher, impacting regional sentiment and trade. • Energy Market Surge: Global oil prices climbed significantly, with Brent crude rising 0.48% to US$ 103.7 per barrel and U.S. crude hovering near US$ 98.7. This surge followed potential military escalations targeting Iran’s primary export infrastructure. • Regional Market Winners: • Hong Kong: The Hang Seng Index led gains, rising 1.45% to close at 25,834.02. • South Korea: The Kospi advanced 1.14% to end at 5,549.85. • Regional Market Laggards: • Australia: The S&P/ASX 200 declined 0.39%, closing at 8,583.40. • Japan: The Nikkei 225 edged down 0.13% to 53,751.15. • China: The CSI 300 remained largely flat at 4,671.56, despite positive domestic economic data. • Impact on Sri Lanka: Rising global oil prices (above US$ 100 a barrel) typically pressure Sri Lanka’s energy sector and foreign exchange reserves due to increased import costs, potentially impacting the cost of production for manufacturing and logistics.