Asian shares open higher post US gains, oil prices rise

Asian shares opened in the green on Monday after US jobs data catalysed in pushing stocks to new highs in the previous session.

Oil prices increased as protests in Iran intensified.

Equities in Australia and South Korea and the equity index futures for Hong Kong increased, taking their guide from the S&P500, which was up 0.6% on Friday to close at an all-time high. US equity futures edged lower.

On another note, Japanese financial markets are closed on Monday for a holiday. Hence, there will be no trading of cash US Treasuries in Asia.

The rally in US equities Friday followed largely benign employment data that showed slightly

fewer workers were added to the economy than economists forecast, while the jobless rate edged down to 4.4%. Separately, the US Supreme Court failed to weigh in on President Donald Trump’s tariffs, pushing into the future one risk hanging over markets.

The dollar edged lower in Asia after Federal Reserve Chair Jerome Powell said the US central bank had been served grand jury subpoenas from the Justice Department threatening a criminal indictment related to his June congressional testimony on renovations of the Fed’s headquarters.

Gains for stocks in recent days underscore a fragile calm across global markets despite geopolitical uncertainty from Caracas to Tehran, lingering questions over Washington’s tariffs, and signs the dominance of US mega-cap tech stocks may be waning.

Oil advanced Monday as Iran intensified a crackdown on protests across the country. The increase extended a Friday advance, when it capped its longest run of weekly gains since June.

The unrest has raised the possibility the Islamic Republic may be overthrown, a development that would transform global geopolitics and energy markets. Trump has threatened repercussions if demonstrators were targeted, while Tehran has warned the US and Israel against any intervention.

Asian tech shares may get a boost after Taiwan Semiconductor Manufacturing Co. reported revenue late last week that topped estimates, offering fresh support for the AI trade in the region.

Elsewhere, Group-of-Seven finance ministers meet in Washington to discuss rare earths Monday, while New York Fed President John Williams and Atlanta Fed President Raphael Bostic are set to speak.

Precious metals were slightly higher early Monday, as some traders bet on a higher gold price after last year’s rally.

Australian bond yields were little changed early Monday. The US 10-year yield ended little changed in Friday’s session, with the jobs data leaving expectations for additional Fed interest-rate cuts intact, although the pace of reductions remains in question.

Morgan Stanley, Barclays and Citigroup all pushed back their forecasts for Fed rate cuts later in 2026 after Friday’s jobs data.

With inputs from Bloomberg

Also Read: Oil climbs, intensifying unrest in Iran spark supply concerns