06:37 AM EDT, 05/29/2026 (MT Newswires) -- Asian stock markets rallied on Friday, on prospects that the Strait of Hormuz may soon open to oil-tanker traffic, pursuant to a pending Iran-US ceasefire arrangement.

Hong Kong and Tokyo finished in the green, while Shanghai lagged. Other regional exchanges largely gained ground, with new all-time highs set on equity indices in Seoul and Taiwan.

Brent crude oil futures traded near $91.38 a barrel, off 1.3%, during Asian trading hours.

In Japan, the Nikkei 225 opened higher and rose to the close, finishing up 2.5% on media reports that Tehran and Washington have tentatively agreed to extend a ceasefire for 60 days.

The benchmark Nikkei 225 rose 1,636.38 to 66,329.50, to strike a fresh all-time zenith, as gaining issues outnumbered losers 162 to 61.

Leading the upside was silicon-wafer maker Sumco, up 19.3%, while Mitsubishi Motors declined 8.5%.

In economic news, Tokyo's consumer price index-core (CPI-core) that strips out fresh food bills, rose 1.3% on year in May, reported the Statistics Bureau.

The nation's unemployment rate fell to 2.5% in April from 2.7% in March, added officials.

The nation's retail sales in April grew 2.1% on-year, and industrial production in Japan increased by 2.3% in April on year, reported the Ministry of Economy Trade & Industry (METI).

In Hong Kong, the Hang Seng Index opened higher and held ground, finishing up 0.7% on strength in property issues.

The broad gauge Hang Seng rose 176.23 to 25,182.39, as gaining issues outnumbered losers 64 to 25. The Hang Seng TECH Index lost 0.1% on the day, while the Mainland Properties Index rose 2%.

Leading the upside was computer-maker and AI-hardware maker Lenovo, gaining 22%, while Semiconductor Manufacturing International declined 7.5%.

On the mainland, the Shanghai Composite fell 0.7% to 4,068.57.

On the other regional exchanges, the S. Korean KOSPI rose 3.6%; the Taiwan TWSE inclined 2.5%; the Australian ASX 200 inclined 1.6%; the Singapore Straits Times Index rose 1%, and the Thai Set was steady. In late trading in Mumbai, the Sensex was down 1.4%.

The MSCI All Country Asia Pacific Index rose 1.7% on the day.