Shares slide, oil prices elevated as U.S.-Iran truce prospects dim

Key Points:

• Asian stocks declined on Tuesday, with MSCI's Asia-Pacific index down 0.3% and Australian shares falling 0.4%, amid ongoing U.S.-Iran tensions in the Strait of Hormuz and cautious trading ahead of key earnings reports.
• Oil prices eased slightly but remained above $100 per barrel, with Brent crude at $113.85 and U.S. crude at $105.03, as geopolitical risks continue to influence supply concerns.
• The Japanese yen stabilized after a brief surge, amid speculation of further intervention by Tokyo to support the currency, with authorities closely monitoring the dollar/yen exchange rate near key levels.
• Investors are preparing for major earnings releases from companies like Advanced Micro Devices and Pfizer, while data shows a strong earnings beat rate among S&P 500 firms, driven largely by AI-related spending in the tech sector.
• The U.S. dollar strengthened on safe-haven demand ahead of critical economic data this week, including the April nonfarm payrolls report, with the Federal Reserve expected to maintain current interest rates amid inflation concerns.