Asia shares skid, yields rise as Gulf war escalates

With the conflict now in its fourth week and showing no sign of ending, the head of the International Energy Agency warned of the worst global energy crisis in decades and said the world economy was under "major threat" from it. The escalation hammered stock markets, with Seoul and Tokyo - which had been the standout performers before the war started - taking the brunt of the selling, shedding 6.5 per cent and 3.5 per cent, respectively. "It's also worth noting that past oil shocks unfolded over many months in terms of the rise in oil prices as the full impact became clearer – it was over about 4 months in 1973 and a year in 1979."