Published on 14/07/2026 - 7:53 GMT+2

Brent crude prices reached just above $84 per barrel following a nearly 10% surge on Monday. The US benchmark crude gained 1.4% to stand at $79.20 per barrel.

Although oil values remain under their conflict high near $120 per barrel, questions about supply reliability grew after both the US and Iran claimed control over the Strait of Hormuz.

US equity futures dropped 0.3% after Washington conducted additional strikes on Iran following President Donald Trump announcement that the country was restoring a blockade in the strait.

Regional fighting has blocked oil tankers from traversing the route to transport crude from the Persian Gulf, pushing global fuel costs upward.

Asia-Pacific shares slip overnight

Tokyo Nikkei 225 fell 1% to 66,574.96 during Asian trading hours, and South Korea Kospi dropped 3.2% to 6,589.37.

Shanghai Composite index declined 0.8% to 3,884.32 despite official data showing China exports rose 27% in June compared with the prior year, fueled by artificial intelligence demand for chips and related technology.

Hong Kong Hang Seng gained 0.1% to 24,230.46, whereas Australia S&P/ASX 200 lost 0.5% to 8,767.00.

On Monday in New York, the S&P 500 declined 0.8% after completing its fourth positive week out of five. The Dow Jones Industrial Average eased 0.3%, and the Nasdaq composite fell 1.6%.

Chip makers including Micron Technology led declines, with the stock dropping 4.4% and trimming its year-to-date gain of 243.1%.

Concerns are mounting that share values have risen excessively and that demand could fade if AI fails to produce expected profit and efficiency gains.

Nvidia declined 3.5%. As the largest stock by market value on Wall Street owing to AI enthusiasm, it exerted the greatest downward pressure on the S&P 500.

Investors turn to earnings

Wall Street focus this week centers on corporate profit reports detailing spring quarter results. On Tuesday, Bank of America, Citigroup, JPMorgan Chase, Goldman Sachs and Wells Fargo will all publish their latest earnings.

Analysts project S&P 500 companies will post 23.6% overall growth versus a year earlier, according to FactSet. Confirmation would mark the second consecutive quarter exceeding 20% expansion.

Firms in various sectors must report robust results to support recent stock price gains. Indexes sit near records even after sharp swings tied to AI share concerns.

Higher oil costs would increase inflation, possibly prompting the Federal Reserve and other central banks to lift interest rates. Elevated rates can curb inflation yet also restrain economic activity and weigh on investment prices.

In additional early Tuesday trading, the US dollar eased to 162.34 Japanese yen from 162.35 yen. The euro advanced to $1.1391 from $1.1381.