عربي English Türkçe اردو فارسى
Logo
Latest News
Business

Asian Markets Cautious, Oil Dips after Trump Holds Off on Iran Attack

Vessels are seen anchored in the Strait of Hormuz, off the port city of Khasab on Oman's northern Musandam Peninsula on May 17, 2026. AFP
Vessels are seen anchored in the Strait of Hormuz, off the port city of Khasab on Oman's northern Musandam Peninsula on May 17, 2026. AFP
TT
TT

Asian Markets Cautious, Oil Dips after Trump Holds Off on Iran Attack

Vessels are seen anchored in the Strait of Hormuz, off the port city of Khasab on Oman's northern Musandam Peninsula on May 17, 2026. AFP
Vessels are seen anchored in the Strait of Hormuz, off the port city of Khasab on Oman's northern Musandam Peninsula on May 17, 2026. AFP

Asian markets were mixed Tuesday as oil prices eased on hopes of a US-Iran deal, though elevated crude levels capped investor appetite for risk.

Energy markets held center stage after US President Donald Trump signaled "serious negotiations" with Tehran and called off planned strikes, boosting optimism that tensions could.

The war the United States and Israel launched February 28 has led to an effective blockade of the Strait of Hormuz, through which around 20 percent of global oil exports passed in peacetime.

The leaders of Qatar, Saudi Arabia and the United Arab Emirates asked him "to hold off on our planned Military attack of the Islamic Republic of Iran, which was scheduled for tomorrow, in that serious negotiations are now taking place", Trump wrote on his Truth Social platform.

But Trump added that he instructed the US military to be "prepared to go forward with a full, large scale assault of Iran, on a moment's notice, in the event that an acceptable Deal is not reached".

Speaking later at a White House event, Trump said there had been a "very positive development" and that Arab allies said a deal was near that would leave Iran without nuclear weapons, which Tehran denies pursuing.

"There seems to be a very good chance that they can work something out. If we can do that without bombing the hell out of them, I'd be very happy," Trump said.

However, he also warned the United States was prepared to launch a "full, large-scale assault" if negotiations collapse, underscoring the fragility of the situation.

Oil dipped on the prospect of diplomacy, but the move offered only limited relief after weeks of volatility driven by the Middle East conflict.

International benchmark Brent was hovering around $109 while West Texas Intermediate at $107.

Equity performance wavered.

Tokyo's Nikkei 225 opened lower, with local jitters offset by local resilience. Japan's gross domestic product expanded 0.5 percent in the first quarter, exceeding market forecasts of 0.4 percent.

Seoul's Kospi slid by more than four percent, with tech stocks losing ground after taking their lead from Wall Street. Shanghai, Taipei and Jakarta also slid.

Hong Kong, Sydney and Wellington were ahead.

Safe-haven demand was higher, with both gold and silver edging up, suggesting investors remain wary.

All eyes are on Wednesday's quarterly results from US chip titan Nvidia, which will be scrutinized as investors question whether huge spending on AI data centers is justified by potential returns.

Most Viewed

 
 
Business

SABIC, Rongsheng Petrochemical Sign PDA for Potential Strategic Investment in Advanced Materials Project in China

The SABIC headquarters in Al-Jubail (SABIC website)
The SABIC headquarters in Al-Jubail (SABIC website)
TT
TT

SABIC, Rongsheng Petrochemical Sign PDA for Potential Strategic Investment in Advanced Materials Project in China

The SABIC headquarters in Al-Jubail (SABIC website)
The SABIC headquarters in Al-Jubail (SABIC website)

The Saudi Basic Industries Corporation (SABIC) signed on Thursday a Project Development Agreement (PDA) with Rongsheng Petrochemical Co. Ltd. and its wholly owned subsidiary Rongsheng New Materials (Zhoushan) Co. Ltd. to jointly advance the development of the Jintang New Materials Project in Zhoushan, China.

“Under the PDA, SABIC and Rongsheng Petrochemical are evaluating a potential equity investment by SABIC up to 50% of Rongsheng New Materials, positioning the project as a strategic collaboration between two leading global petrochemical companies,” the Saudi company said in a statement said.

The agreement also establishes a framework for project development activities towards a potential final investment decision (FID), the statement added.

SABIC CEO and Executive Board Member Dr. Faisal M. Alfaqeer said that the partnership with Rongsheng Petrochemical reflects SABIC’s vision for global footprint expansion.

“SABIC continues to prioritize innovation, portfolio advancement and sustainable value creation, strengthening its ability to serve customers worldwide,” he added.

CEO of Rongsheng Petrochemical and Executive Director of the Board Mr. Xiang Jiongjiong said: “The collaboration represents a landmark partnership and a model of win-win cooperation between Rongsheng Petrochemical and SABIC.”

He described the partnership as “a flagship outcome of two industry leaders complementing their strengths and robust capabilities to jointly research, develop and operate in advanced chemical materials.”

He said the alliance “also serves as a critical stabilizing anchor for the chemical sector, enabling us to deliver more valuable and comprehensive product solutions to our customers.”

The Jintang New Materials Project is designed to enhance production capabilities for advanced chemical materials and support growing demand from key downstream industries in China and Asia.

The project is expected to leverage world-class technologies, integrated manufacturing capabilities and operational excellence to strengthen competitiveness, foster innovation and create long-term value for all stakeholders.

Business

Saudi Ports Authority Signs Seven Agreements Worth Over $266 Million to Develop Logistics Centers

A container terminal at one of Saudi Arabia's ports. (SPA)
A container terminal at one of Saudi Arabia's ports. (SPA)
TT
TT

Saudi Ports Authority Signs Seven Agreements Worth Over $266 Million to Develop Logistics Centers

A container terminal at one of Saudi Arabia's ports. (SPA)
A container terminal at one of Saudi Arabia's ports. (SPA)

The Saudi Ports Authority (Mawani) has signed seven agreements to establish logistics centers in Jeddah, western Saudi Arabia, with a total value exceeding SAR 1 billion ($266 million).

The signing ceremony was attended by Minister of Transport and Logistic Services Saleh Al-Jasser and Mawani President Suliman Al-Mazroua.

Al-Mazroua said the new agreements provide for the development of logistics centers under concession terms of up to 25 years, supporting efforts to position Jeddah as a global logistics hub. He noted that two agreements were signed with international companies, while five were awarded to Saudi firms with global ambitions. Valued at more than SAR 1 billion, the projects are also expected to create additional jobs.

He said that in February, at the onset of the Strait of Hormuz crisis, the Minister issued urgent directives to prepare the Kingdom's western coast to receive supply chains serving Saudi Arabia and the Gulf region. As a result, all entities involved in the logistics ecosystem worked toward that objective.

Al-Mazroua said Mawani focused on several key areas. The first was strengthening maritime connectivity by increasing shipping services to compensate for the shortfall affecting the Kingdom's eastern region.

During the crisis, more than 27 additional shipping services were introduced on the western coast, increasing capacity by more than 200,000 TEUs (twenty-foot equivalent units) per month to offset the shortfall.

He added that the second area focused on preparing ports to handle higher volumes by streamlining procedures with the Saudi Customs Authority and terminal operators, while expanding equipment capacity. Investments in these measures exceeded SAR 640 million over a three-month period.

Business

Oil Eases as Traders Weigh US-Iran Conflict Risks

A horse grazes near an oil drilling rig in Kazakhstan (Reuters)
A horse grazes near an oil drilling rig in Kazakhstan (Reuters)
TT
TT

Oil Eases as Traders Weigh US-Iran Conflict Risks

A horse grazes near an oil drilling rig in Kazakhstan (Reuters)
A horse grazes near an oil drilling rig in Kazakhstan (Reuters)

Oil prices eased on Thursday as traders weighed escalating tensions between the United States and Iran and the risks to oil supplies moving through the Strait of Hormuz.

Brent crude futures were down 27 cents, or 0.32%, to $84.68 a barrel at 1011 GMT, while US West Texas Intermediate futures were down 11 cents, or 0.14%, to $79.49 a barrel. Both contracts remain close to one-month highs.

"The market is still reacting with a surprising degree of calmness," said Ole Hvalbye, market analyst at SEB Research, Reuters reported.

"It seems reasonable that prices could continue to climb towards $90-$95 and maybe even touch the $100 mark again and that is because the Strait of Hormuz is repeatedly being disrupted, creating uncertainty over oil flows from the Gulf."

The US struck Iran's coastal defences and missile sites on Wednesday after reimposing a naval blockade of its ports, while Tehran threatened to shut off more regional energy exports, saying it was engaged in an "existential war" with America.

The escalation comes after a fragile truce reached in June collapsed, reviving fears of a return to full-scale conflict and disrupting energy flows through the Strait of Hormuz, which handled about a fifth of daily global oil and LNG trade before the war began.

Fewer vessels passed through the strait on Wednesday, the first day after the US reimposed its naval blockade on Iran. Seven crossed on Wednesday, down from 13 the previous day.

"Markets could remain cautious as they assess immediate supply risks. So far, despite heightened military tensions, oil tankers continue to sail through the Strait of Hormuz, although in more limited numbers," said Wael Makarem, financial markets strategist lead at Exness.

Iran said on Thursday the strait was an inviolable "red line", warning that if US President Donald Trump carried out his threat to attack Iran's infrastructure, it would strike all infrastructure across the Gulf region.

Analysts say Iran has signalled it may use its Houthi allies in Yemen to shut the Bab el-Mandeb gateway to the Red Sea, opening a new front against Washington and putting a second of the world's most vital energy arteries at risk.

Oxford Economics said the likeliest scenario was that low, fluctuating levels of traffic through the strait spark intermittent oil price rallies that keep average prices above $80 per barrel for several quarters.

Elsewhere, Ukraine's Security Service said on Thursday that together with Ukraine's navy it has struck two Russian "shadow fleet" tankers with naval drones in the Black Sea.