Middle East conflict lifts oil, drags Asian stocks lower

Escalating military conflict in the Middle East sent oil prices sharply higher and dragged down Asian stock markets on Tuesday, July 14, 2026, as disruptions to a critical oil shipping lane and a sell-off in technology stocks rattled global financial markets. The dual pressures reignited concerns about inflation and the sustainability of recent market gains.

The price of Brent crude, the global benchmark, climbed to just over $84 a barrel in early trading, extending a surge of nearly 10% from the previous day. U.S. benchmark West Texas Intermediate crude rose 1.4% to $79.20 a barrel. The increases followed a series of U.S. airstrikes on Iran and retaliatory actions over the weekend, which included an attack on a container ship. Both nations have asserted control over the Strait of Hormuz, a vital waterway through which about one-fifth of the world's oil passes, and the fighting has prevented tankers from using the passage. While prices remain below a recent wartime peak of nearly $120 a barrel, the instability has deepened uncertainty over future energy supplies.

The geopolitical shockwaves coincided with a broad retreat in Asian equities, led by heavy losses in artificial...