Asia-Pacific markets opened mixed Tuesday, as worries of a prolonged disruption to energy flows via the Hormuz Strait take hold. The Kospi was down 0.76%, while the small-cap Kosdaq lost 1.4%. Australia's benchmark S&P/ASX 200 edged up 0.15%. Japan markets were closed for the holiday.
Iran has said it is closing in on a deal with Oman to reopen the Strait of Hormuz, but Tehran has continued to resist direct negotiations with the US until several conditions are met.
Iranian Foreign Minister Abbas Araghchi said Sunday there was "no possibility of restarting negotiations" as long as the U.S. continues violating the June memorandum of understanding and does not compensate Iran for those violations, according to the semi-official Tasnim News Agency.
Crude oil held on to a four-day advance as fresh demands from US President Donald Trump raised doubts over the prospects of a deal that could restore traffic through the Strait of Hormuz.
Brent crude traded near $88 a barrel after surging almost 5% in the previous session, while West Texas Intermediate hovered around $82. Trump said Iran would have to compensate the US for people it has killed in conflicts, adding that the demand would be put "firmly into any, and all, future negotiations."
Around one-fifth of global oil and liquefied natural gas shipments passed through Hormuz before the war, making the waterway a key pressure point for energy markets. Any delay in restoring regular shipping is keeping traders focused on supply risks
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