Asian shares rise as Iran peace talks progress

Asian shares mostly rose and oil prices plunged on Monday after U.S. President Donald Trump said talks on ending the war with Iran were progressing, raising expectations that a potential peace deal could reopen the Strait of Hormuz and ease global energy supplies. Markets in Tokyo, Sydney and Shanghai posted gains in morning trading, while trading was closed in South Korea and Hong Kong for holidays marking Buddha’s birthday. U.S. markets were closed Monday for Memorial Day.

Trump said negotiations with Iran were proceeding in an orderly and constructive manner. Regional officials told The Associated Press on Sunday that the United States is close to reaching a deal with Iran that would end the war, reopen the Strait of Hormuz and see Iran give up its stockpile of highly enriched uranium. The strait’s closure has prevented oil tankers from exiting the Persian Gulf and delivering crude to customers worldwide. Japan, for instance, imports almost all its oil, most of it through the strait.

“Markets are rapidly transitioning from pricing geopolitical fear toward pricing a potential peace dividend as Hormuz reopening expectations pressure oil and the dollar lower,” analyst Stephen...