Asian stock markets mostly rose Tuesday amid cautious trading, as oil prices surged ahead of a U.S. deadline for Iran to reopen the Strait of Hormuz or face possible attacks on its infrastructure.

Japan’s Nikkei 225 edged up 0.1% to close at 53,429.56. Australia’s S&P/ASX 200 jumped 1.7% to 8,728.80, while South Korea’s Kospi gained 0.8% to 5,494.78. China’s Shanghai Composite rose 0.3% to 3,890.16. Trading was closed in Hong Kong for a holiday.

On Wall Street, stock indexes also moved higher. The S&P 500 added 0.4%, coming off its first weekly gain in six weeks. The Dow Jones Industrial Average rose 165 points, or 0.4%, and the Nasdaq composite climbed 0.5%.

In energy markets, U.S. crude jumped $2.41 to $114.82 a barrel, while Brent crude rose $1.46 to $111.23 a barrel well above pre-war levels of around $70. Oil prices have been volatile amid uncertainty over the war with Iran and its impact on global oil and gas supplies.

Iran rejected the latest ceasefire proposal Monday, calling instead for a permanent end to the conflict. Analysts at Mizuho Bank in Singapore said President Trump’s repeated ultimatums are part of a growing cycle of escalation. “Hopes for a complete resolution remain slim as countries seek bilateral solutions,” they said.

Meanwhile, Iranian and Omani officials continued working on a plan to manage the strait, through which nearly a fifth of the world’s oil passes.

In bonds, the 10-year U.S. Treasury yield held at 4.33%, above its pre-war level of 3.97%. In currency markets, the dollar edged up to 159.86 yen from 159.62, while the euro fell slightly to $1.1541 from $1.1543.