Asian markets flat as Trump-Putin talks fuel hopes for Ukraine breakthrough; oil, SoftBank slip

Asian markets showed minimal movement on Tuesday, following a muted session on Wall Street and renewed geopolitical attention as US President Donald Trump reported “very good” talks with Ukrainian and European leaders aimed at ending the three-year war in Ukraine.

Markets were cautiously optimistic after Trump revealed he had spoken by phone with Russian President Vladimir Putin—just days after the two met in Alaska—and began setting up a potential face-to-face meeting between Putin and Ukrainian President Volodymyr Zelensky.

“At the conclusion of the meetings, I called President Putin, and began the arrangements for a meeting, at a location to be determined, between President Putin and President Zelensky,” Trump said.

The geopolitical developments came alongside a dip in oil prices, which have seen recent volatility. Russia, a major oil producer, has been at the center of concerns over supply disruptions. West Texas Intermediate fell 0.5% to $63.12 a barrel, while Brent crude slipped 0.3% to $66.32.

Markets snapshot (as of 0300 GMT):

Tokyo – Nikkei 225: ↓ 0.1% at 43,652.32

Hong Kong – Hang Seng Index: ↑ 0.1% at 25,195.36

Shanghai – Composite: ↑ 0.2% at 3,733.74

New York – Dow Jones: ↑ 0.1% at 44,946.12 (Monday close)

London – FTSE 100: ↑ 0.2% at 9,157.74 (Monday close)

SoftBank shares fell 2% after the Japanese tech conglomerate announced a $2 billion investment in Intel. The news follows reports that the U.S. government is considering acquiring a 10% stake in the struggling American chipmaker.

Investors are also looking ahead to a key speech from U.S. Federal Reserve Chair Jerome Powell at the Jackson Hole central banking summit later this week. Markets are seeking clues on whether the Fed will consider easing interest rates at its next meeting, especially following last week’s mixed inflation data.

“Even a nod to easing (by Powell) could be enough to trigger profit-taking, and a hint of caution could set off a scramble for the exits,” said Stephen Innes, managing partner at SPI Asset Management.

Currency and commodities update:

Euro/dollar: ↓ at $1.1652 (from $1.1666)

Pound/dollar: ↓ at $1.3498 (from $1.3503)

Dollar/yen: ↓ at 147.78 yen (from 147.89 yen)

Euro/pound: ↓ at 86.33 pence (from 86.40 pence)

While markets remain calm, analysts suggest that any firm signals from the Fed or progress in Ukraine diplomacy could shift sentiment quickly in the days ahead.