The biggest disruption to global air travel since the Covid pandemic continued on March 1, with thousands of flights affected and busy Middle East hubs, including Dubai and Doha, closed as Iran lashed out against attacks from the United States and Israel.
Justin Tallis | afp | fake images
Airline stocks led losses in Asia on Monday as Middle East airspace disruptions and airport closures disrupted travel markets, while higher oil prices boosted energy stocks amid the escalating conflict in Iran.
Singapore Airlines fell more than 5%, setting the pace of declines in the sector. Japan Ann and JAL each fell more than 5%, while Hong Kong’s Cathay Pacific fell 4.2%. Australia Qantas and Taiwan Eva Air It also declined more than 4% as investors weighed higher fuel costs and operational disruptions.
Oil futures also rose as the US-Israel conflict with Iran intensified following the death of Iranian Supreme Leader Ayatollah Ali Khamenei.
US President Donald Trump said on Sunday that combat operations in Iran will continue after the deaths of three US service members.
Oil futures rose more than 8%. West Texas Intermediate Futures last traded at $72.92, while Brent Crude It was at $79.79 per barrel. Gold futures rose 2.43% as investors flocked to the global safe haven.
Energy stocks in Asia advanced on higher crude oil prices. Forest energy in Australia, Inpex in Japan gained up to 5%, while China National Offshore Oil Corporation in Hong Kong rose more than 3%.
Defense stocks in the region also increased, although more modestly. Japan Mitsubishi Heavy Industries, Kawasaki Heavy Industries and IHI They rose 0.47% and more than 2%, respectively. Singapore’s ST Engineering rose 3%.
Other major Asian defense stocks were not trading on Monday because South Korean markets were closed for a holiday.
Japan Nikkei 225 fell 1.35% to 58,057.24, paring earlier losses, while the Topix fell 1.02% to 3,898.42.
Hong Kong Hang Seng Index fell 2.14% to close at 26,059.85, leading losses in Asia, while mainland China’s CSI 300 rose 0.38% to close at 4,728.67, bucking the broader downtrend.
Australia’s S&P/ASX 200 rose marginally to 9,200.9, with gains in its oil and gold mining sectors offsetting its losses.
Stock futures fell overnight after the weekend attacks in Iran.
Dow Jones Industrial Average futures fell more than 600 points, or 1.28%. S&P 500 futures lost 1.32% and Nasdaq 100 futures fell a little more than 1.71%.
