Highlights
- ASX 200:Up around 0.3%to 8,874.
- Japan: Nikkei gained about 0.4%.
- South Korea:Kospi fell more than 2%.
- China:Shanghai Composite down around 1%.
- Hong Kong:Hang Seng edged up around 0.3%.
Asian markets mixed
Asian markets were mixed on Thursday as investors digested the US Federal Reserve’s decision to leave interest rates unchanged, a fresh batch of technology earnings and continued volatility in oil prices.
South Korea was the major laggard as Samsung Electronics came under pressure, while Australian and Japanese shares finished higher and Indian equities strengthened during the morning session.
ASX closes higher
The S&P/ASX 200 finished around 0.3% higher at 8,874, after trading as high as 8,901 during the session.
Energy, financial and defensive stocks helped support the Australian market, while technology and mining shares were more subdued.
The Australian dollar was trading around US$0.706, holding most of Wednesday’s gains after stronger domestic inflation increased expectations that interest rates could remain elevated.
Japan edges higher
Japan’s Nikkei 225 finished around 0.4% higher at 64,194, after reaching an intraday high near 64,800.
Investors remained cautious as the Bank of Japan began its two-day policy meeting, with markets broadly expecting rates to remain unchanged for now.
Technology stocks initially benefited from the positive Wall Street lead before some gains faded later in the session.
Korea reverses sharply
South Korea’s Kospi fell more than 2%, reversing part of Wednesday’s 7% surge as investors took profits from the recent semiconductor rally.
Samsung Electronics weighed on the market despite reporting a sharp increase in third-quarter profit, with the result failing to meet heightened investor expectations after the recent run in artificial intelligence-linked stocks.
The Kospi had traded above 6,100 earlier in the session before retreating towards the 5,900 level.
China falls while Hong Kong edges higher
Mainland Chinese equities weakened, with the Shanghai Composite down around 1% near 3,656 during afternoon trading.
Hong Kong performed better, with the Hang Seng up around 0.3% at 23,170, after moving between gains and losses earlier in the session.
The contrasting moves came as investors continued to assess the outlook for Chinese growth alongside elevated global borrowing costs and geopolitical uncertainty.
Taiwan’s Taiex closed around 1% lower at 46,513, with semiconductor stocks giving back some of their recent gains.
India rallies from early weakness
Indian equities strengthened after a hesitant start, with the Sensex climbing more than 500 points and the Nifty moving back above 22,800.
Power and Adani Group stocks were among the stronger performers as investors looked past mixed Asian cues and responded positively to the Federal Reserve keeping rates unchanged.
Indian markets remain sensitive to elevated crude prices because of the country’s dependence on imported energy.
Wall Street finishes higher
US markets provided a modestly positive lead overnight after the Federal Reserve kept its benchmark interest rate unchanged at 3.75% to 4%.
The Dow Jones gained around 0.2% to 52,475, the S&P 500 rose 0.3% to 7,744 and the Nasdaq Composite added around 0.3% to 26,550.
Technology earnings produced a mixed reaction after the close, with Microsoft rising after strong Azure cloud growth while Alphabet fell sharply as weaker areas of its results overshadowed strong Google Cloud growth.
Commodities and currencies
Oil eased in Asian trading but remained elevated amid continuing Middle East tensions.
Brent crude was around US$114 a barrel, while West Texas Intermediate traded near US$102.
Gold held above US$4,060 an ounce as investors balanced geopolitical risk against higher US bond yields.
The combination of cautious central bank policy, elevated oil prices and mixed technology earnings has left Asian markets divided, with investors increasingly focused on whether corporate earnings can justify the recent strength in AI-linked stocks.
