The growing likelihood of Western military action against Syria pummeled Asian stock markets Wednesday and sent the price of oil soaring.
Fears that the US, Britain and other countries are gearing up to confront Syria over its alleged use of chemical weapons against civilians rose after Defence Secretary Chuck Hagel said the US military stands ready to strike against Syria if President Barack Obama gives the order.
"While we believe that the market tensions should not last for too long ... Sentiment will continue to be under pressure until the situation shows signs of easing," Anthony Lam of Credit Agricole CIB in Hong Kong said in a market commentary.
Japan's Nikkei 225 index sank 2.3% to 13,228.28. Hong Kong's Hang Seng dropped 1.4% to 21,574.15. South Korea's Kospi declined 0.5% to 1,876.95. Australia's S&P/ASX 200 tumbled 1.2% to 5,081.90. Benchmarks in the Philippines, Indonesia and mainland China also fell.
US stocks were hit with a broad sell-off on Tuesday. The Dow Jones industrial average lost 1.1% to close at 14,776.13. The Standard & Poor's 500 index declined 1.6% to close at 1,630.48. The Nasdaq composite was down 2.2%, to 3,578.52.
