Asian stocks up on tech rally

Asian stocks rallied on Tuesday, driven by a surge in the tech sector following record highs on Wall Street. The dollar weakened against the yen as investors assessed the potential impact of interest rate adjustments in the US and Japan.

Japan’s Nikkei soared 1.6 per cent, South Korea’s KOSPI climbed 1.7 per cent, and Taiwan’s index gained 1.1 per cent.

Australia’s benchmark reached a new all-time high, rising 0.7 per cent. However, Hong Kong’s Hang Seng edged lower, and mainland Chinese blue chips fell 0.3 per cent.

The S&P 500 and Nasdaq futures were relatively flat after the previous day’s record-breaking performance, fueled by strong gains in tech giants like Meta Platforms and Tesla.

The dollar gained slightly against the yen but remained near a six-week low. The euro weakened slightly, while the yuan hit a 13-month low amid concerns over potential US tariffs.

Traders are increasingly anticipating a quarter-point rate cut at the December Fed meeting, while the Bank of Japan (BOJ) is expected to raise rates by a similar margin on December 19.

Attribution: Reuters

Subediting: M. S. Salama