Nikkei Jumps 1.8% to Record as Brent Holds Near $100 on Fragile Iran Truce
Updated
Updated · Reuters · May 27
Nikkei Jumps 1.8% to Record as Brent Holds Near $100 on Fragile Iran Truce
11 articles · Updated · Reuters · May 27
Japan's Nikkei rose 1.8% to a record and MSCI's Asia-Pacific ex-Japan index gained 1.2%, extending Wall Street's AI-driven rally as investors watched U.S.-Iran ceasefire talks.
Brent crude held near $99.06 after a nearly 4% jump the previous session, with sentiment capped after Iran said U.S. strikes in Hormozgan violated the ceasefire and Washington called them defensive.
Marco Rubio said a deal with Tehran could take a few days, while Iran's Tasnim reported Tehran is seeking release of $24 billion in frozen overseas funds.
Central bank signals kept markets cautious: BOJ Governor Kazuo Ueda warned supply shocks loom large, and ECB board member Isabel Schnabel backed a June rate hike even if a peace deal is reached.
Currency markets were steadier, with the dollar index at 99.09 and the New Zealand dollar subdued ahead of an expected RBNZ hold at 2.25%.
As US-Iran tensions disrupt global trade, why is Asia seeing a record-breaking surge in investment?
How can record market highs and record geopolitical tensions coexist in the global economy?
With Washington and Tehran sending mixed signals, what is the real trigger for an all-out conflict?
Record Highs for Asian Stocks in May 2026: Tech Surge, Oil Shocks, and Geopolitical Risks
Overview
In late May 2026, Asian stock markets surged to record highs, led by Japanese and Chinese equities. This rally was fueled by a clear recovery in risk appetite across the Asia-Pacific, driven by robust demand in the AI and semiconductor cycle, strong performance in technology sectors, and a sense of geopolitical relief. Positive expectations around oil prices also supported market sentiment. Notably, China’s A-share market and companies like SMIC reached new highs, highlighting the region’s strength in semiconductors. Together, these factors created an optimistic yet cautious investment environment across Asia.