Asian equity markets opened higher on Tuesday, echoing the upbeat tone set by Wall Street’s recent surge. The gains came as investors reacted to a broad rally in U.S. stocks that pushed the S&P 500 within striking distance of its all‑time high.
Key market moves
Australia’s S&P/ASX 200 added 0.2% in early trading, reaching 8,748.20. South Korea’s Kospi jumped 1.6% to 7,120.25, while Hong Kong’s Hang Seng rose nearly 0.6% to 25,185.26. The Shanghai Composite increased 0.4% to 3,964.45. Tokyo’s markets remained closed for an extended holiday, with trading set to resume Thursday.
U.S. market backdrop
On Monday, U.S. equities climbed toward record levels. The S&P 500 rose 1.5%, pulling within 0.4% of the high set last month. The Dow Jones Industrial Average added 366 points, or 0.7%, and the Nasdaq composite leaped 2.3% to a new all‑time high, driven by strong performance from chip makers and other artificial‑intelligence‑focused companies.
Energy and bond market influences
Lower oil prices also helped lift equities. Benchmark U.S. crude gained 0.43% to $96.19 a barrel, while Brent crude rose 0.65% to $100.99. Although still well above the roughly $72 level seen earlier this summer, prices have retreated from the near‑$110 peak reached last week.
Oil price declines eased pressure on the bond market. The yield on the 10‑year Treasury fell to 4.95% from 5.01% on Friday, after briefly crossing the 5% threshold for the first time since 2023.
Currency market snapshot
In foreign‑exchange trading, the U.S. dollar edged up to 157.43 Japanese yen, up from 157.31 yen. The euro was quoted at $1.1474, a slight rise from $1.1469.
Outlook
Market participants remain optimistic about the continued strength of AI‑related stocks, which have rebounded after a sharp slide early last week. Industry leaders have cautioned that a measured pace of development is needed to ensure safety for humanity, but the overall sentiment appears supportive.
Investors will watch upcoming data releases and any further developments in global oil supply, particularly movements through the Strait of Hormuz, as these factors could influence market direction in the days ahead.
Original reporting: Alexandria, VA News – WTOP News — read the source article.
