Asian stock markets experienced an upswing on Thursday, propelled by robust performances in Japan and South Korea as technology shares saw a notable surge. This positive trend followed encouraging earnings reports from major US semiconductor companies.
Investor sentiment was buoyed by Qualcomm and Micron Technology, both of which improved their earnings forecasts, thereby increasing the appeal of semiconductor stocks across the region. Qualcomm’s shares rose after the company upgraded its annual revenue expectations and unveiled a new data center chip. Similarly, Micron’s stocks climbed after the company surpassed market predictions.
The Nikkei 225 in Japan recorded a significant rise, driven by advances in companies linked to the semiconductor industry. Meanwhile, South Korea’s Kospi reached unprecedented heights, bolstered by gains in major tech firms like Samsung Electronics and SK Hynix.
While Japan and South Korea led the charge, other Asian markets presented a mixed picture. India, Taiwan, and China registered modest gains, whereas markets in Hong Kong and Australia declined. This regional performance came on the heels of a mixed trading session on Wall Street, where some major tech stocks suffered losses, impacting US indexes.
In the energy sector, declining oil prices reflected investors’ focus on US-Iran negotiations aimed at resolving existing tensions. Brent crude prices edged closer to pre-conflict levels, exerting pressure on energy giants like Exxon Mobil and Chevron. Simultaneously, markets are turning their attention to upcoming US inflation data, with the Federal Reserve keeping a close watch on pricing trends as it deliberates future interest-rate policies. Economists anticipate that the Personal Consumption Expenditures index will continue to indicate inflationary pressures.