Asian Markets Rally as Oil Tumbles on U.S.-Iran Ceasefire Talks; Chinese Chipmaker CXMT Surges in Shanghai Debut

Oil futures retreated sharply Monday while equity markets across Asia posted modest gains, driven by relief over a temporary halt in military actions between the United States and Iran. Both Brent crude and U.S. benchmark crude experienced significant declines, with Brent dropping 4.6% to $87.46 per barrel and domestic crude falling 5.1% to $84.79 per barrel following the pause in hostilities.

A Chinese memory chipmaker captured investor attention with an extraordinary debut on Shanghai’s technology board, with shares of CXMT soaring approximately 470% in opening trading. The company rapidly ascended to become China’s most valuable publicly listed firm, reaching an estimated market capitalization of 3.3 trillion yuan, equivalent to nearly $490 billion.

Regional benchmarks demonstrated broad-based strength across Asia. Japan’s Nikkei 225 advanced 0.2% to 64,771.02, while South Korea’s Kospi rose 0.3% to 6,708.87. Hong Kong’s Hang Seng climbed 0.8% to 25,164.81 and Australia’s S&P/ASX 200 surged 1.3% to 8,883.00, with Shanghai’s Composite index gaining 0.4% to 3,827.96.

Wall Street ended Friday with minimal movement as technology stocks weighed on performance, with the S&P 500 rising less than 0.1% to 7,411.98 and marking its second consecutive weekly loss. The Dow Jones Industrial Average gained 0.5% to 51,947.25, while the Nasdaq composite declined 0.6% to 24,975.82, pressured by declines in major semiconductor firms Micron Technology and Broadcom.

Inflation concerns continue to dominate investor sentiment as the Federal Reserve prepares for this week’s policy meeting. Recent energy price surges and new tariffs announced by President Donald Trump’s administration threaten to add pressure on consumer prices and household budgets already strained by gasoline costs averaging $4.11 nationally, according to AAA data.

Technology sector earnings have become critical focal points as investors reassess whether massive corporate spending on artificial intelligence infrastructure will translate into sustainable profits. Giants including Alphabet and Nvidia have committed substantial capital to expanding AI capacity, yet Wall Street increasingly questions whether valuations can be justified by future earnings growth.