Chinese shares opened lower on Friday as investor sentiment was rattled by escalating U.S. threats against Iran.
The Shanghai Composite Index, the main gauge of Chinese stocks, opened 0.3% lower to 3,891.18. The Shenzhen Component Index declined 0.3% to 13,935.64.
U.S. Treasury Secretary Scott Bessent said a new series of economic measures would "collapse" the Iranian government, calling on countries worldwide to join the effort, CNBC reported.
The threat follows heightened volatility in the Middle East, where the United Arab Emirates recently suspended all trade and financial transactions with Iran after alleging that two ballistic missiles were launched from Iranian territory. Iran has rejected the accusation, calling it "baseless" and a disruption to regional trust-building efforts, NDTV reported.