FX.co ★ Asian Stocks Rally on Iran Peace Deal

Asian equity markets surged on Monday after reports that the United States and Iran had reached an agreement to end the conflict and reopen the Strait of Hormuz. The news pushed oil prices to a two-month low, easing inflationary pressures and lowering costs for oil-importing economies across the region. Investors are also positioning ahead of several key central bank meetings this week: the Reserve Bank of Australia is expected to leave its policy stance unchanged, while the Bank of Japan is widely anticipated to raise interest rates in an effort to rein in inflation and support the yen. Japan’s Nikkei and South Korea’s Kospi each climbed more than 5%, leading gains across regional markets, with shares in Australia, China, and Hong Kong also advancing in step.