Investors are shifting away from risk assets amid what one analyst described as weeks of “misplaced optimism,” as uncertainty surrounding the ongoing war continues to weigh heavily on global markets. Australian Prime Minister Anthony Albanese warned that the economic impact of the conflict will worsen the longer it persists, urging greater clarity on its objectives.
Asian markets opened sharply lower, with Japan’s Nikkei 225 falling about 3.5 percent and South Korea’s Kospi down around 3 percent after deeper earlier losses. Markets in Hong Kong and Australia were also weaker by roughly 1.5 percent.
Governments are moving to cushion the economic blow from surging energy prices. Australia is planning a three-month cut to fuel excise, while South Korea is considering restrictions on private vehicle use if oil prices exceed $120 per barrel.
