A screen displays share prices inside the Kabuto One building in Tokyo, Japan, on Monday, April 13, 2026. Oil surged and stocks fell after President\u00a0Donald Trump\u00a0ordered a blockade of the Strait of Hormuz, escalating tensions with Iran following the collapse of weekend peace talks. Photographer: Kiyoshi Ota\/Bloomberg via Getty Images<\/p>\n
Bloomberg | Bloomberg | Getty Images<\/p>\n
Stocks in Asia slid on Tuesday while\u00a0oil\u00a0prices\u00a0eased but remained well above $100 a barrel, as the U.S. and\u00a0Iran\u00a0continue to work towards a\u00a0truce\u00a0while at the same time trading blows over the Strait of Hormuz.<\/p>\n
Traders also had their eyes on the yen\u00a0JPY=\u00a0after the Japanese currency briefly\u00a0jumped\u00a0in the previous\u00a0session, stoking speculation of another round of intervention from Tokyo.<\/p>\n
MSCI’s broadest index of Asia-Pacific\u00a0shares\u00a0outside Japan<\/a>\u00a0was down 0.3%.\u00a0Shares\u00a0in Australia<\/a>\u00a0fell 0.4% in thinned Asia trade, while markets in Japan and South Korea were closed for a holiday.<\/p>\n Nasdaq futures<\/a>\u00a0and S&P 500 futures<\/a>\u00a0edged down about 0.1% each, while EUROSTOXX 50 futures<\/a>\u00a0lost 0.2% and FTSE futures<\/a>\u00a0fell 0.75%.<\/p>\n The U.S. and\u00a0Iran\u00a0launched\u00a0new attacks in the Gulf on Monday as they wrestled for control over the Strait of Hormuz with dueling maritime blockades, not long after U.S. President Donald Trump launched a new effort to get stranded tankers and other ships through the vital energy-trade chokepoint.<\/p>\n Maersk<\/a>\u00a0said the Alliance Fairfax, a U.S.-flagged vehicle carrier operated by its Farrell Lines subsidiary,\u00a0exited\u00a0the Gulf via the Strait of Hormuz accompanied by U.S. military assets on Monday.<\/p>\n Still, the renewed hostilities jolted markets and served as a stark reminder that the war in the Middle East was far from over.<\/p>\n “We started yesterday with high hopes that\u00a0operation\u00a0‘Project Freedom’ would be, I guess, a success on the ground, that it was being pitched as more of a humanitarian effort,” said Tony Sycamore, a market analyst at IG.<\/p>\n “But as we saw, the\u00a0Iranians weren’t taking that bait at all… It really signifies that the stalemate remains in place, it’s been a very shaky start.”<\/p>\n In\u00a0oil\u00a0markets, Brent crude futures\u00a0LCOc1\u00a0fell 0.5% to $113.85 a barrel while U.S. crude\u00a0CLc1\u00a0slid 1.3% to $105.03, having\u00a0jumped\u00a0in the previous\u00a0session on heightened worries about supply disruption.<\/p>\n Geopolitics aside, investors were also bracing for earnings reports this week, with Advanced Micro Devices<\/a>\u00a0and Pfizer<\/a>\u00a0among those set to release results later in the day.<\/p>\n Data from S&P Global Market Intelligence showed 83% of S&P 500 companies that have already reported have beaten EPS estimates and 78.2% of them have beaten revenue estimates.<\/p>\n “With no signs of slowing down, AI-driven spending will likely continue to do the heavy lifting for S&P 500 earnings growth, led by the technology sector,” said Jeff Buchbinder, chief equity strategist at LPL Financial.<\/p>\n Yen intervention watch<\/p>\n The yen<\/a> was last steady at 157.22 per dollar, after Monday’s short-lived surge that saw the Japanese currency touch an intraday high of 155.69.<\/p>\n Japanese Finance Minister Satsuki Katayama on Monday\u00a0spoke out about\u00a0against speculative trading in foreign exchange, leaving market participants on alert for further\u00a0intervention\u00a0after sources told Reuters Tokyo intervened to prop up its ailing currency on Thursday.<\/p>\n Abbas Keshvani, Asia Macro Strategist at RBC Capital Markets, said authorities could intervene again if dollar\/yen continues to test 160 which they have historically defended, noting that in 2022, Tokyo “fired three volleys of intervention in a few weeks”.<\/p>\n “We suspect intervention will merely act as a lid on\u00a0USD\/JPY, not a catalyst for protracted yen strength,” he said.<\/p>\n In other currencies, the Australian dollar<\/a>\u00a0eased 0.06% to $0.7163 ahead of the Reserve Bank of Australia’s interest rate decision later in the day, where a\u00a0hike\u00a0is widely expected.<\/p>\n The U.S. dollar<\/a> meanwhile firmed on safe-haven demand.<\/p>\n The outlook for Federal Reserve<\/a> policy could be budged by a raft of data this week which includes April’s nonfarm payrolls report on Friday.<\/p>\n Expectations are for the U.S. economy to have added 62,000 jobs following March’s outsized 178,000 gain, though problems with seasonal adjustment make for much uncertainty.<\/p>\n Markets currently expect the Fed to leave its policy interest rate on hold this year, owing to inflationary pressure from the global energy shock.<\/p>\n Elsewhere, spot gold<\/a>\u00a0rose 0.2% to $4,529.19 an ounce, trading well within recent ranges.<\/p>\n