Asian stock markets posted mixed results Wednesday as investors monitored developments in the Iran-Israel conflict that has disrupted global oil supplies for 11 days. Tokyo's Nikkei 225 gained 1.3% and South Korea's Kospi rose 0.6%, while Hong Kong's Hang Seng fell 0.2%.

The conflict has effectively blocked the Strait of Hormuz, a critical waterway through which about one-fifth of the world's oil typically passes daily. Iran has targeted oil infrastructure across Gulf Arab nations and attacked shipping vessels, while Israel has conducted strikes on Iranian targets. Early Wednesday, a container ship was hit by a projectile in the strait and caught fire, forcing the crew to abandon the vessel.

Oil prices remained volatile, with Brent crude trading around $87.78 per barrel, about 20% higher than pre-war levels but well below Monday's peak near $120. The price volatility has created uncertainty in global financial markets, with investors concerned about potential long-term disruptions to energy supplies.

The conflict escalated Tuesday when Iran vowed to block regional oil exports and the U.S. military said it destroyed 16 Iranian minelaying vessels near the Strait of Hormuz. President Trump warned Iran against mining the waterway, stating the U.S. would retaliate "twenty times harder" if oil flows were stopped.

Casualties have mounted across the region, with nearly 500 people killed in Lebanon, over 1,300 reported dead in Iran, 12 fatalities in Israel, and seven U.S. soldiers killed. The U.N. Security Council was scheduled to vote Wednesday on a resolution demanding Iran stop attacking neighboring Arab states.

Market analysts warned that prolonged high oil prices could lead to stagflation, where economic growth stagnates while inflation remains elevated. Many foreign nationals have evacuated the region, including over 45,000 British citizens and 40,000 Americans since the conflict began.