Escalating U.S.-Iran tensions roil Asia-Pacific markets. Major indexes across Japan, South Korea, and Hong Kong plummeted Monday as geopolitical risks intensified. The Nikkei 225 fell 3.5%, South Korea's Kospi dropped 6.5%, and Hong Kong's Hang Seng declined 3.5% amid threats over the Strait of Hormuz. Trump's ultimatum to Iran and Tehran's retaliatory warnings have sparked investor flight from risk assets. Crude oil volatility spiked with Brent crude gaining 0.65% to $112.68 per barrel. Goldman Sachs raised its oil forecasts significantly, expecting Brent to average $110 in March-April. The bank now assumes Hormuz flows remain severely disrupted for six weeks, supporting elevated energy prices. Investors face mounting pressure as geopolitical uncertainty threatens global supply chains and energy markets heading into the coming weeks.
