March 09, New Delhi – Stock markets across Asia plunged on Monday as oil prices surged more than 30 per cent following the near-complete shutdown of the Strait of Hormuz.
In South Korea, the Kospi index dropped 6.7 per cent. Japan’s Nikkei 225 fell around 5.8 per cent after initially declining more than 6 per cent. Stocks in Taiwan also fell more than 5 per cent at the open.
The sharp sell-off highlights Asia’s heavy dependence on crude oil from West Asia. Japan imports about 95 per cent of its crude from the region, much of it transported through the Strait of Hormuz, while South Korea is the world’s fourth-largest crude importer.
Markets in Hong Kong also declined, with stocks tumbling more than 3 per cent, even as China reported consumer prices rising 1.3 per cent in February.
