Japanese and South Korean markets posted gains in thin holiday trading on Friday, led by strength in technology names, as investors weighed developments in the ongoing U.S.-Iran confrontation.
Wall Street closed little changed the previous session, and futures tied to U.S. indexes were broadly quiet in early Asian hours. Overall trading volumes in the region were light, with major markets including Hong Kong, Australia and Singapore closed for the Good Friday holiday.
Index moves
Japan's Nikkei 225 rose about 1.2%, while South Korea's KOSPI climbed nearly 3%, with technology stocks cited as a key support for both moves.
Geopolitical backdrop
Investor sentiment had steadied a day earlier after Iran said it was collaborating with Oman on a framework to manage shipping traffic through the Strait of Hormuz. Despite that development, markets remained on edge following escalatory comments from U.S. President Donald Trump. In a Truth Social post late Thursday, Trump warned that U.S. forces had "not even started" their campaign in Iran and said they could next target critical infrastructure, including bridges and electric power plants.
Those remarks followed a speech given earlier in the day in which Trump indicated the United States could intensify military action in coming weeks, while providing little clarity on a timeline for de-escalation. The combination of heightened rhetoric and uncertain timelines continued to unsettle global investors.
Commodities and China data
Oil prices pushed above $110 per barrel on Thursday amid fears of further escalation. In China, services sector growth cooled in March: the RatingDog Services PMI fell to 52.1 from February's 33-month high of 56.7, though it remained above the 50 mark and therefore in expansion territory.
Chinese equities moved lower on the data, with the Shanghai Composite down roughly 0.9% and the Shanghai Shenzhen CSI 300 index about 0.6% lower.
Near-term focus
With geopolitical risks still front of mind, market participants were also watching for U.S. nonfarm payrolls data due later in the day for additional clues about the Federal Reserve's policy outlook.
This report reflects market moves, economic data and public comments as reported; it does not include projections beyond the events and figures described above.