Over the weekend, US President Donald Trump threatened to attack Iran's energy infrastructure if the country does not open the Strait of Hormuz soon. At the same time, Iran has countered with threats of both retaliation and a prolonged blockade.
The statements have prompted stock analysts Reuters spoke with to warn of widespread declines in global stock markets when trading opens on Monday.
In Japan and South Korea, where the trading week has just begun, markets were following that trend. In Seoul, the Kospi is down 5.3 percent after just under an hour of trading; in Tokyo, the Nikkei 225 is down 4.7 percent while the broader Topix is down 4.3 percent.
A few hours earlier, the price of oil also rose as markets opened.
