Renewed tensions between the United States and Iran have once again driven global oil prices higher, while major Asian stock markets moved lower amid growing concerns over instability in the Middle East.

Oil prices had eased on Wednesday after optimism surrounding a possible peace agreement. However, fresh military developments quickly reversed the decline, bringing renewed volatility to global energy markets. Investors are increasingly worried about disruptions to oil transportation through the strategically important Strait of Hormuz.

According to US officials, American forces shot down several Iranian drones and carried out strikes targeting a control center near the southern Iranian city of Bandar Abbas. The US described the operation as defensive and aimed at maintaining regional stability and the ceasefire.

Iranian state media, however, reported that Iranian forces fired at several vessels in the Strait region. Meanwhile, Kuwait confirmed that its air defense systems were responding to missile and drone threats, signaling rising security concerns across the Gulf region.

Although some Iranian officials stated that the chances of a full-scale war remain low, strong warnings from the US side have kept markets on edge. The latest developments suggest that diplomatic negotiations to reduce tensions in the Middle East remain fragile.

As a result, international benchmark crude oil prices rose nearly 2 percent, crossing $95 per barrel during Thursday trading. US crude oil prices also recorded notable gains as fears over supply disruptions intensified.

Asian stock markets reacted negatively to the geopolitical uncertainty. Major indices across the region, including Hong Kong’s benchmark index, declined as investors shifted toward safer assets amid fears that escalating tensions could impact the global economy and energy supply chains.