US-Iran ceasefire sparks Asian Markets rally: Hang Seng jumps at open, Kospi leads the gains and Nikkei soars; US, European futures rise

Asian equities staged a powerful relief rally on Wednesday after a ceasefire between the United States and Iran cooled a six-week conflict that had roiled energy markets and weighed on investor sentiment across the region.

The turnaround followed statements from Donald Trump, who said planned attacks on Iranian infrastructure would be suspended for two weeks, and Tehran, who said Iran’s armed forces would cease their defensive operations across the Gulf. The de-escalation eased fears of supply disruption in the Strait of Hormuz, lifting risk appetite worldwide.

Hong Kong opens in upswing

The first signal came from Hong Kong derivatives markets, where Hang Seng Index futures traded at 25,233 versus the prior close of 25,116.53.

When trading resumed, the Hang Seng opened 2.5% higher, confirming the positive cue.

Seoul leads gains as chip giants rally

South Korea’s KOSPI surged 5.3%, the strongest move among major Asian benchmarks. The rally was powered by heavyweight chipmakers:

• Samsung Electronics rose 7%
  
• SK Hynix jumped 9%
  

Semiconductor stocks, highly sensitive to global risk sentiment and trade conditions, rebounded sharply as investors priced in lower geopolitical risk and steadier energy costs.

Tokyo extends advance: Nikkei and Topix climb

Japan’s Nikkei 225 extended its rally to around 4.6%, while the broader TOPIX advanced 3.2%. Exporters and technology shares led advances as a calmer geopolitical backdrop and softer oil prices improved the outlook for margins and global demand.

Australia’s S&P/ASX 200 climbed 2.7%. The regional MSCI Asia Pacific Index traded 2.6% higher.

Global futures rally as oil eases

The relief move extended beyond Asia:

• Futures tied to the Dow Jones Industrial Average gained nearly 1,000 points (+2.1%)
  
• S&P 500 futures added 2.2%
  
• Nasdaq 100 futures climbed 3%
  
• European stock futures surged 5%
  

Lower oil prices following the ceasefire reduced fears of an energy-driven inflation spike and supported expectations of steadier global growth.

Why markets reacted so strongly

The six-week conflict had injected a geopolitical risk premium into oil and equities, particularly in Asia where energy import dependence is high and export sectors are sensitive to global volatility. The ceasefire reduced the immediate threat to shipping through the Strait of Hormuz and calmed fears of wider regional escalation.