Asian stocks opened sharply lower on Monday, weighed down by surging oil prices and concerns over economies reliant on energy imports from the Middle East. South Korea’s Kospi emerged as the hardest hit, tumbling over 7.8% or 437 points to 5,147. Nikkei plunged 6.6% or 3,683 points to 51, 937. Around 11 am IST, HSI in Hong Kong was down 626 points or 2.4% to reach 25,131. Investors were rattled as Brent crude, the global benchmark, shot above $118 a barrel, with US West Texas Intermediate (WTI) also climbing sharply, up around 30% from Friday’s close of $90.90. At 0230 GMT, WTI reached $118.21 per barrel, a 30.04% rise, before retreating slightly, while Brent traded 27.54% higher at $118.22. Oil has now climbed to its highest point in 14 years. The last time prices moved above the $100 mark was shortly after Russia launched its invasion of Ukraine in 2022. The latest surge has been driven by worries that the conflict could affect exports from the Persian Gulf, a key route for global oil and gas supplies. The spike in energy prices is adding pressure on the global economy, particularly for countries that depend heavily on imported crude and gas. If the rise in oil and gas costs continues, the impact could spread across economies already adjusting to higher tariffs on exports to the United States under President Donald Trump. Oil prices have risen more than 60% since the conflict began and entered its second week, drawing in countries and locations vital to the production and transportation of oil and gas from the Persian Gulf. According to analysts and investors, sustained oil prices above $100 per barrel could inflict serious harm on the global economy. The unease was already visible on Wall Street at the end of last week. On Friday, the S&P 500 declined 1.3% after data showed US employers cut more jobs last month than they created, while oil prices also climbed above $90 a barrel. Investors see the combination of slowing economic activity and high inflation as particularly troubling, as the Federal Reserve has limited tools to tackle both problems simultaneously. During Friday’s session, the Dow Jones Industrial Average dropped by as much as 945 points before closing down 453 points, or 0.9%. The Nasdaq composite finished 1.6% lower. Meanwhile, the US dollar strengthened in early Monday trading as investors sought safe-haven assets amid heightened uncertainty. The dollar rose 0.9% against the Japanese yen to 158.87, while the euro slipped to $1.1513 from $1.1618.