Asian shares fall after a tech sell-off on Wall Street, while oil prices gain

Global markets faced mixed performance Wednesday as technology stocks drove declines in Asia and Europe, while oil prices surged following renewed U.S.-Iran tensions. European shares mostly fell after Japan’s Nikkei 225 dropped 1.9% and South Korea’s Kospi sank 4.5%, with Samsung Electronics and SK Hynix tumbling 6.1% and 7.5%, respectively. The sell-off followed Wall Street’s tech-heavy Nasdaq dropping 1%, with Micron Technology and Marvell Technology losing 1.4% and 7.6% after earlier gains. Oil prices rose after the U.S. military launched strikes on Iran following a helicopter crash near the Strait of Hormuz, which President Donald Trump attributed to Tehran. Brent crude gained 0.4% to $91.78 per barrel, up from around $70 before the war began in late February, while U.S. benchmark crude rose 0.1% to $88.31. Analysts at ING warned the situation remains volatile, complicating efforts for a ceasefire and free passage through the Strait. The S&P 500 futures declined 0.6%, and the Dow Jones Industrial Average futures fell 0.5%, reflecting broader market uncertainty. Britain’s FTSE 100 dipped 0.1%, Germany’s DAX lost 0.3%, and France’s CAC 40 rose marginally, while Hong Kong’s Hang Seng fell 0.6% and Shanghai’s Composite slipped 0.4%. Taiwan’s Taiex dropped 3.3%, but India’s Sensex climbed 0.8% and Australia’s S&P/ASX 200 rose 0.6%. Japan’s producer price index surged 6.3% in May, the fastest pace in over three years, adding to inflation pressures. China’s producer prices also hit a near four-year high of 3.9%. Investors are now monitoring U.S. inflation data this week amid rising energy costs from the Iran conflict. The U.S. dollar strengthened to 160.40 yen, while the euro traded at $1.1552.