Asian shares edge higher on Wednesday

Asian shares edged higher on Wednesday, marking a year of strong gains driven by artificial intelligence. Equities across the region posted modest gains, with MSCI’s Asia Pacific index excluding Japan up 0.3 per cent and set for its best annual performance since 2017 at 26 per cent. Japan’s Nikkei rose 0.4 per cent and was also up 26 per cent for the year, while South Korea led regional markets with a surge of around 72 per cent in 2025.

US futures were little changed in thin holiday trading after the S&P 500 closed at a record overnight, supported by stronger-than-expected US economic growth in the third quarter.

In currency markets, the yen strengthened for a third session amid renewed intervention concerns, pushing the dollar down 0.3 per cent to 155.78 yen. The euro hovered near $1.18 and was up about 14 per cent for the year, while the dollar index was down roughly 10 per cent.

US Treasury yields held steady, capping a year of declines driven by the resumption of Federal Reserve rate cuts.

Attribution: Reuters