TOKYO: Japan’s Nikkei share average rallied on Tuesday to levels not seen since the start of the war in Iran as optimism over negotiations to end the conflict sent oil prices lower.
The benchmark Nikkei 225 Index jumped 2.43 percent to 57,877.39, its highest close since March 2, while the broader Topix climbed 0.87 percent to 3,755.27.
The Nikkei closed at an all-time high on February 26, the day before the US and Israel began aerial bombardments of Iran, triggering a conflict that has halted nearly all oil shipments from the region.
Although ceasefire talks over the weekend broke down, US Vice President JD Vance said in an interview with Fox News that progress has been made in negotiations and Washington expects Iran to proceed with reopening the Strait of Hormuz shipping lane.
US crude fell 1.57 percent to USD97.52 a barrel and Brent traded at USD98.83 per barrel, down 0.54 percent on the day.