Why are Asian stocks expected to decline according to the news?

Asian stocks were set to decline because surging oil prices—driven by escalating US-Iran tensions and fears of disruptions to oil flows through the Strait of Hormuz—pushed global bond yields higher and reignited inflation concerns, raising fears that central banks would tighten monetary policy.

What impact did rising oil prices have on global bond yields and US equities?

The oil shock helped push global bond yields to the highest since 2008, weighed on equities at the start of a seasonally weak month, and contributed to the S&P 500 falling 0.7% and the Nasdaq 100 posting its worst session in two weeks—particularly dragging down chipmakers like Nvidia, AMD, and Micron.

Asian Stocks Set for Declines as Oil Extends Gains: Markets Wrap

Sep 1, 2026

Asian stocks declined as oil prices surged past $90 per barrel amid US-Iran tensions, raising inflation fears. Chevron announced plans to expand Venezuelan oil operations while bond yields hit multi-year highs.

bloomberg

2026-09-01

Asian Stocks Set for Declines as Oil Extends Gains: Markets Wrap

Asian Stocks Set for Declines as Oil Extends Gains: Markets Wrap

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