Asian Markets Slide as Saudi Arabia Shuts Oil Pipeline

Asian stock markets traded mostly lower on Monday, September 14, 2026, as geopolitical instability and surging crude oil prices erased gains from the previous week. The Government of Saudi Arabia shut down a critical East-West pipeline following drone attacks, removing a primary alternative route to the Strait of Hormuz.

Market volatility increased after planned talks between Iran and the Gulf Cooperation Council regarding the reopening of the Strait of Hormuz were postponed. In Japan, the Nikkei 225 fell below 63,500, with SoftBank Group dropping nearly 12%. The Australian S&P/ASX 200 remained a slight outlier, posting modest gains driven by energy and financial stocks.

Economic pressure from the United States further weighed on investor sentiment. Hotter-than-expected U.S. inflation data led markets to price in an 86% probability that the United States Federal Reserve will implement a 25 basis point interest rate hike on Wednesday.