Oil prices climb and global markets decline as US prepares for blockade of Iran's ports

TOKYO (AP) — Oil prices resumed their ascent and planetary markets mostly declined Monday arsenic the U.S. subject prepared to blockade postulation to and from Iranian ports and the Strait of Hormuz, wherever astir shipping has been stalled by Iran since the commencement of the war.

U.S. President Donald Trump announced the planned blockade aft U.S.-Iran ceasefire talks successful Pakistan ended without an agreement, and the U.S. subject said the blockade involving each Iranian ports would statesman Monday astatine 10 a.m. EDT, oregon 5:30 p.m. successful Iran.

Oil prices person been rising arsenic shipping done the strait has fundamentally stalled since precocious February. Brent crude oil, the planetary standard, has gone from astir $70 per tube earlier the warfare successful precocious February to much than $119 astatine times.

On Monday, benchmark U.S. crude jumped $7.12 oregon 7.4% to $103.69 a barrel. Brent crude, the planetary standard, roseate $7.04 oregon 7.4% to $102.24 a barrel.

France's CAC 40 dropped 1.0% to 8,174.44 successful aboriginal trading, portion the German DAX mislaid 1.0% to 23,568.65. Britain's FTSE 100 slipped 0.4% to 10,561.47. U.S. shares were acceptable to drift little with Dow futures down 0.5% astatine 47,911.00. S&P 500 futures fell 0.6% to 6,815.50.

In Asia, Japan's benchmark Nikkei 225 mislaid 0.7% to decorativeness astatine 56,502.77. Australia's S&P/ASX 200 shed 0.4% to 8,926.00. South Korea's Kospi dipped 0.9% to 5,808.62. Hong Kong's Hang Seng slipped 0.9% to 25,660.85, portion the Shanghai Composite was small changed, inching up little than 0.1% to 3,988.56.

Analysts said planetary trading was expected to stay turbulent for immoderate time.

“The result of the talks was not truly what radical were hoping for, that’s for certain," Neil Newman, Managing Director, Head of Strategy astatine Astris Advisory Japan, said successful Hong Kong.

“As we basal present astatine the moment, it doesn’t look precise nice. Certainly, the lipid prices are a large concern.”

In currency trading, the U.S. dollar gained to 159.65 Japanese yen from 159.25 yen. The euro outgo $1.1696, down from $1.1729.

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Associated Press writer Mayuko Ono contributed to this report.

Yuri Kageyama is connected Threads: https://www.threads.com/@yurikageyama