U.S. Treasury Secretary Scott Bessent indicated that a deal to open the Strait of Hormuz could be reached by Wednesday, which has led to increased market enthusiasm. The Strait is significant as it previously facilitated about 20% of the world's oil flow. Despite this optimism, tensions between the U.S. and Iran persist, with Iran warning that U.S. actions could escalate into broader conflict.
In Asia, tech stocks surged, influenced by Wall Street's recent record performance driven by artificial intelligence and growth stocks. Additionally, General Motors and China's SAIC Motor announced a 20-year extension of their joint venture, focusing on Buick and Cadillac sales in China and exports from China to non-U.S. markets.
On a different note, India's retail inflation reached an 18-month high, surpassing the central bank's target.
Meanwhile, Novo Nordisk's raised guidance did not alleviate investor concerns about its long-term growth prospects in the face of increasing competition from Eli Lilly, as analysts noted that its quarterly performance was bolstered by temporary factors rather than sustainable growth drivers