Asian shares trade mixed after Wall Street rally despite Iran war worries

TOKYO -- Asian shares traded mixed aboriginal Tuesday arsenic optimism encouraged by a grounds rally connected Wall Street clashed with anxiousness astir surging lipid prices and a imaginable AI bubble.

Japan's benchmark Nikkei 225 added 0.7% to 62,881.03. South Korea's Kospi dropped 1.2% to 7,726.30, successful what analysts are categorizing arsenic fallout from overreliance connected fraying AI hopes.

“Global equities stay dangerously babelike connected a tiny clump of AI leaders, creating a rally operation that looks almighty connected the aboveground but progressively fragile underneath,” said Stephen Innes, expert with SPI Asset Management.

He believes South Korea whitethorn beryllium among the archetypal large economies that volition acquisition what helium called "the governmental redistribution signifier of the AI boom.”

Australia's S&P/ASX 200 dipped 0.3% to 8,676.60. Hong Kong's Hang Seng gained 0.2% to 26,467.50, portion the Shanghai Composite mislaid 0.4% to 4,208.00.

Oil prices continued to rise, arsenic the warfare with Iran threatens to resistance on. Benchmark U.S. crude roseate 91 cents to $98.98 a barrel. Brent crude, the planetary standard, climbed 90 cents to $105.11 a barrel.

Adding to worries were comments from President Donald Trump that the U.S.-Iran ceasefire was connected “life support” aft rejecting Iran’s latest connection to extremity their war. That raises the stakes for Trump’s travel this week to China. China is the biggest purchaser of Iran’s sanctioned crude oil.

The warfare has already sent the terms for a tube of Brent racing up from prewar levels of astir $70 and delivered ostentation done the planetary economy. The warfare has unopen the Strait of Hormuz and kept lipid tankers stuck successful the Persian Gulf alternatively of delivering crude to customers worldwide.

Still, immoderate companies are reporting bigger nett than analysts expected, which means the U.S. system is holding up adjacent though households are feeling discouraged by costly gasoline and tariffs.

On Wall Street, the S&P 500 roseate 0.2% from its anterior all-time precocious acceptable connected Friday. The Dow Jones Industrial Average gained 95 points, oregon 0.2%, and the Nasdaq composite added 0.1% to scope its ain all-time high.

All told, the S&P 500 roseate 13.91 points to 7,412.84. The Dow Jones Industrial Average added 95.31 to 49,704.47, and the Nasdaq composite gained 27.05 to 26,274.13.

In the enslaved market, Treasury yields ticked higher. The 10-year output roseate to 4.40% from 4.38% precocious Friday.

In currency trading, the U.S. dollar roseate to 157.57 Japanese yen from 157.12 yen. The euro outgo $1.1761, down from $1.1787.

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AP Business Writer Stan Choe contributed to this report.

Yuri Kageyama is connected Threads: https://www.threads.com/@yurikageyama