MARKETS: The Japanese yen strengthened, stocks fell

In Japan, stocks fell after the Bank of Japan left its key interest rate unchanged following a split vote, increasing the likelihood of a rate hike in June and strengthening the yen.

Japan’s Nikkei 225 was down 0.9 percent at the time of the review. The broader Topix remained up 0.9 percent.

Elsewhere in Asia, stock markets developed differently.

The Kospi index continued its record rise as South Korea overtook Great Britain and became the eighth largest stock market in the world. At the time of review, Kospi was up 0.8 percent.

Hong Kong’s Hang Seng, on the other hand, was down 0.7 percent. The CSI 300 index, which tracks shares in mainland China, was up 0.1 percent.

The MSCI Asia Pacific index has remained almost unchanged on Tuesday, close to the levels it was at when the war between the United States and Iran began at the end of February.

Oil price high

The market price of crude oil has risen again on Tuesday, as the market is tense about the next moves in the war between the United States and Iran.

The price of Brent crude oil is currently at USD 109.6 per barrel and is up by about 1.2 percent for the day. During the war, this would be one of the highest daily closing readings for Brent, although the price has been clearly higher during the day.

Axios reported on Monday that Iran, through Pakistan, had proposed an agreement to the United States in which Iran would agree to open the Strait of Hormuz to shipping, the United States would lift its own naval blockade outside the strait, and negotiations on Iran’s nuclear program would be moved forward.

President Donald Trump has informed his advisers that he is unhappy with Iran’s proposal to open the Strait of Hormuz to shipping, the New York Times reported on Tuesday.

In Asia, the busiest week of the earnings season

In the immediate aftermath of the Iran war, Asian stocks lagged behind US markets, but have since rallied strongly.

In April, the MSCI Asia Pacific index has risen by 14 percent.

“Asia’s outperformance relative to the US is starting to look more and more plausible,” Saxo Markets chief strategist Love Chanana told Bloomberg.

“While there is no strong macroeconomic certainty, capital needs a credible target. At the moment, it is artificial intelligence, and Asia continues to be the backbone of this development.”

Asian companies face the busiest week of the earnings season, giving investors an early look at the impact of the Iran war on earnings.

This week too Alphabet, Microsoft, Amazon, Apple and Meta report their results.

Based on futures, Wall Street and European stock exchanges are expected to open in two parts.

You got 1.17 dollars for the euro and 159.07 yen for the dollar.