Asian stocks rise after Trump announces ceasefire between Israel and Iran

Asian markets rallied strongly following U.S. President Donald Trump's announcement of a ceasefire between Israel and Iran, prompting a broad risk‑on sentiment and sharp declines in oil prices:

Oil plunged—Brent crude dropped over 3% to around $69/barrel, marking the lowest since mid‑June, as fears of disruptions (like a Strait of Hormuz blockade) eased .

MSCI Asia ex‑Japan index surged ~2%, its strongest move since April .

South Korea’s Kospi jumped nearly 3%, closing above 3,100 for the first time since 2021, led by strong gains in Samsung and SK Hynix .

Tokyo’s Nikkei rose 1–1.1%, while Hong Kong’s Hang Seng climbed ~2% .

China’s Shanghai Composite gained around 1.1–1.2% .

In India, markets achieved nine-month highs, with the Nifty 50 surging past 25,225 and Sensex reaching ~82,744. Gains were broad-based: airlines, oil‑marketing firms, and ports soared, while upstream oil producers dipped due to lower oil prices .

Why the jump?

1. The ceasefire significantly reduced geopolitical risk, lifting investor confidence.

1. Falling oil prices relieved inflation pressures, particularly in major importers like India.

1. Weaker crude oil – and in turn, the U.S. dollar – boosted currencies and assets in Asia .

1. Lower rates also lifted sentiment, with U.S. Treasury yields dipping and a Fed rate cut potentially looming .

Caveats:

The ceasefire is “tenuous” or “shaky”—Israel has accused Iran of violations shortly after Trump’s announcement .

Markets are now awaiting further clarity—especially Trump’s next steps, possible new hostilities, and upcoming U.S. economic data and Fed speaker signals.

---

In summary, Asian stocks jumped, oil fell, and investor risk appetite surged on June 24, 2025, driven by optimism over a possible end to the 12‑day Israel‑Iran conflict—but the ceasefire remains uncertain, so markets are watching closely.