SINGAPORE: Asian stocks soared to record highs on Thursday while the US dollar slipped and oil nursed steep losses on the prospects of a US-Iran peace deal, even as the fate of the critical Strait of Hormuz appeared unresolved. Japan’s Nikkei returned from a long holiday to cross 62,000 for the first time, catching up on a blistering AI-led rally after robust earnings that also catapulted South Korean and Taiwan stocks to records. MSCI’s broadest index of Asia-Pacific shares outside Japan rose 1%, hitting a record high. European stock futures pointed to a subdued open after the pan-European STOXX 600 rose 2% on Wednesday. An Iran deal would be a breakthrough, so the sparkling market reaction on Thursday was justified, Kyle Rodda, senior financial analyst at Capital.com, said. “But we’ve seen this story before, and the rug could get pulled out of the market pretty quickly too. Ultimately, if we keep seeing progress in talks, Asian markets will keep rallying.” Iran said it was reviewing a peace proposal that sources said would formally end the war while leaving unresolved the key US demands that Iran suspend its nuclear program and reopen the Strait of Hormuz, whose closure has sent oil prices surging. DNA
