Asian stocks experienced an upswing on Tuesday, fueled by the momentum in technology shares which led Wall Street to a historic peak.
The S&P 500 managed to climb by 0.2% from its previous peak on Monday, marking its 54th record close of the year.
While the Dow Jones Industrial Average slipped by 128 points, or 0.3%, the Nasdaq composite saw an increase of 1%.
Investor sentiment in Japan appears optimistic following threats of tariffs by President-elect Donald Trump, which could potentially benefit Japanese markets. In morning trading, the Nikkei 225 surged by 1.8% and Tokyo Electron saw a rise of 4.4%.
Other Asian markets followed suit with Australia’s S&P/ASX 200 increasing by 0.7% to 8,504.00, South Korea’s Kospi climbing 1.7% to 2,495.80 as inflation numbers encouraged prospects of rate cuts in 2025, and both the Hang Seng and the Shanghai Composite nudging up by 0.2%.
Wall Street’s upswing was significantly led by Super Micro Computer’s shares, which jumped by 28.7% following a cleared misconduct investigation.
In addition, major tech stocks like Microsoft and Meta Platforms contributed to the upward drive on the S&P 500, gaining 1.8% and 3.2% respectively.
Despite early gains, Intel saw a reversal, falling 0.5% after news of CEO Pat Gelsinger’s retirement, amidst its search for fresh leadership to rejuvenate investor trust.
In Europe, Stellantis faced a decline of 6.3% in Milan post-announcement of CEO Carlos Tavares’s departure, attributed to ongoing sales challenges.
Overall, the S&P 500 increased by 14.77 points to 6,047.15, while the Dow dipped to 44,782.00 and the Nasdaq climbed to 19,403.95.
Bond markets remained stable with the 10-year Treasury yield holding at 4.19%, slightly above the 4.18% noted on Friday.
The week ahead brings significant updates on the U.S. employment front, with the November jobs report anticipated to reveal robust hiring by employers.
In energy sectors, U.S. benchmark crude eased 9 cents to $68.01 per barrel, whereas Brent crude dropped by 3 cents to $71.80.
In currency developments, the dollar strengthened slightly against the yen, moving to 149.91 yen from 149.51, while the euro decreased marginally to $1.0493.
As Asian markets respond to Wall Street’s tech-driven advances, investors eye further economic indicators that could influence global financial strategies. The week’s employment data will be particularly pivotal in shaping future market dynamics.
Source: News4jax
