Tokyo Tower stands tall among buildings at dusk in Tokyo, Japan.
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Asia-Pacific markets fell sharply on Monday as the Middle East war entered its fifth week and the conflict escalated despite efforts to find a diplomatic solution.
benchmark Kospi fell more than 5%, with the average loss dropping 2.97% to close at 5,277.3, while the small-cap Kosdaq fell about 3% to 1,107.05.
Japan’s Nikkei 225 fell 2.79% to 51,885.85 and the TOPIX fell 2.94% to 3,542.34. Bank of Japan policymakers discussed the need for further interest rate hikes at a meeting in March as inflationary pressures mount due to rising oil prices linked to Middle East conflicts. According to a summary opinion released on Monday, one member suggested that tightening may need to be accelerated.
One policymaker said there was a risk that the Bank of Japan could unintentionally become a laggard because of the increased likelihood of second-order effects and increases in underlying inflation caused by developments overseas.
Australia’s S&P/ASX 200 closed 0.65% lower at 8,461.
Hong Kong’s Hang Seng index fell more than 1%, with the CSI300 index down 0.24% to 4,491.95.
Yemen’s Houthis announced Saturday that they had fired a missile at Israel, marking their first direct involvement in the U.S.-Israel-led war against Iran.
Houthi spokesman Yahya Salih said in a post on X that the group launched a barrage of ballistic missiles at a suspected Israeli stronghold in support of Iran and its Hezbollah allies in Lebanon.
The attack is a sign of further escalation in the conflict that began with U.S. and Israeli airstrikes on Iranian targets on February 28.
Oil prices rose in early trading in Asia. West Texas Intermediate crude oil futures rose 2.58% to $102.19 per barrel.
Prime Minister Anthony Albanese announced at a press conference in Canberra that Australia will cut fuel tax on petrol and diesel by half for three months in a bid to ease rising costs caused by the US-Israel-Iran conflict.
He added that the tax cut was expected to reduce pump prices by 26.3 Australian cents (18 cents) per liter.
In the United States, futures trading is Dow Jones Industrial Average It fell by 253 points (0.6%). S&P500 futures and Nasdaq 100 futures Each decreased by 0.5%.
Last Friday, the Dow Jones Industrial Average fell and fell into correction territory. The Dow 30 fell 793.47 points (1.73%) to close at 45,166.64. The S&P 500 fell 1.67% to close at 6,368.85, a seven-month low. The Nasdaq Composite fell 2.15% to settle at 20,948.36.
The broad market index fell for the fifth straight week, dropping 2.1% over the same period. The tech-heavy Nasdaq is down 3.2% since the start of the week, and the blue-chip Dow is down 0.9% for the week.
—CNBC’s Sean Conlon and Lisa Kailai Han contributed to this report.
