Asian tech stocks surge as US and Iran confirm peace deal

SoftBank surged more than 12% on Monday, leading Asian tech gains after the US and Iran confirmed a deal to end their war.cnbc
The memorandum of understanding includes reopening the Strait of Hormuz toll-free and lifting the US naval blockade, with formal signing set for June 19 in Switzerland.cgtn
Israel has not confirmed it will comply with terms requiring its withdrawal from Lebanon, leaving key questions about the deal’s implementation unresolved.aljazeera

TSMC and SoftBank Shares Jump as US-Iran Peace Deal Lifts Asian Markets

Asian technology stocks surged on Monday after the United States and Iran confirmed a memorandum of understanding to end their war, sending investors rushing back into risk assets that had been battered by months of geopolitical uncertainty.

Tech Giants Lead the Rally

SoftBank Group was the standout performer in Tokyo, jumping more than 12% as the broader Japanese market rallied on peace optimism, according to CNBC. Tokyo Electron and Advantest added around 9% and 7%, respectively. TSMC rose about 2% in Taipei trading, while Samsung Electronics and SK Hynix gained in Seoul.cnbc

The rally followed confirmation from both Washington and Tehran that the deal had been finalized. President Donald Trump posted on Truth Social on Sunday that the agreement with Iran was “now complete” and authorized the toll-free reopening of the Strait of Hormuz and the immediate removal of the U.S. naval blockade. Iran’s Supreme National Security Council said on Monday that the memorandum of understanding would be officially signed on June 19 in Switzerland.cgtn

From Conflict to Agreement

The breakthrough caps more than 100 days of conflict between the U.S. and Iran that ignited an energy crisis and weighed heavily on global markets. Technology stocks had been particularly hard hit, with SoftBank falling more than 11% in early June during a broader tech rout, and TSMC dropping nearly 7% in a single session as tensions escalated.aljazeera

Pakistan’s Prime Minister Shehbaz Sharif, whose country mediated the negotiations, announced on Sunday that both sides had consented to an immediate and permanent cessation of military operations on all fronts, including Lebanon. The deal includes 14 points, with the first being the lifting of the U.S. blockade on Iranian ports, according to Iran’s Foreign Minister Abbas Araghchi.cnbc

Unresolved Questions

Despite the market euphoria, questions remain. Al Jazeera reported on Monday that Israel has not confirmed it would abide by terms requiring its withdrawal from Lebanon. The memorandum of understanding extends the existing ceasefire for 60 days, during which the more contentious issues — including Iran’s nuclear program and U.S. sanctions relief — will be negotiated.axios