Tokyo (AP) Tuesday saw a majority increase in Asian shares after technology stocks drove Wall Street to yet another record close.
For the 54th time this year, the S&P 500 set a record on Monday, rising 0.2% from its previous session’s all-time high. The Nasdaq composite rose 1%, while the Dow Jones Industrial Average dropped 128 points, or 0.3%.
Some observers believe that Donald Trump’s threat of tariffs on China and other countries may ultimately help Japanese difficulties. On Saturday, the president-elect threatened to impose 100% tariffs on a group of emerging nations, including Brazil and China, if they did anything to weaken the value of the US dollar.
In morning trade, Japan’s benchmark Nikkei 225 surged 1.8% to 39,215.99. Issues of Tokyo Electron increased 4.4%.
The S&P/ASX 200 in Australia increased 0.7% to 8,504.00. After inflation data showed a comeback, South Korea’s Kospi increased 1.7% to 2,495.80, although it was still low enough to sustain rate-cut speculation for early 2025.
The Shanghai Composite increased by 0.2% to 3,370.74, while Hong Kong’s Hang Seng gained 0.2% to 19,595.53.
Super Micro Computer, a stock that has been riding an AI roller coaster, shot up 28.7% to take the lead on Wall Street.
The manufacturer of servers used in AI technology says an investigation revealed no evidence of impropriety by the company’s board or management, despite accusations of wrongdoing and the resignation of its public auditor.
The market was also supported by big tech stocks. The two biggest factors driving the S&P 500 higher were Microsoft’s 1.8% gain and Meta Platforms’ 3.2% gain.
Another driver in the morning was Intel, but after the semiconductor manufacturer announced that CEO Pat Gelsinger had retired and resigned from the board, it erased its early gain and fell 0.5%. The chair of Intel, which is searching for Gelsinger’s replacement, stated that the company is dedicated to regaining investor trust.
Nvidia, which has surged amid Wall Street’s AI mania, just overtook Intel in the Dow Jones Industrial Average.
In the meantime, Stellantis fell after its CEO’s resignation was announced. After almost four years at the helm of the carmaker, which owns Jeep, Citroñn, and Ram, Carlos Tavares steps down. The company is still struggling with declining sales and a backlog of inventory at dealerships. The shares of the fourth-largest carmaker in the world dropped 6.3% in Milan.
Most S&P 500 equities, notably California utility PG&E, also declined. After announcing that it would sell $2.4 billion worth of stock and preferred shares to raise money, it fell 5%.
The S&P 500 gained 14.77 points overall, reaching 6,047.15. The Nasdaq composite increased 185.78 to 19,403.95, while the Dow dropped 128.65 to 44,782.00.
Treasury yields in the bond market gave up their early gains in order to remain comparatively stable. During the morning, the yield on the 10-year Treasury rose above 4.23% and then dropped back to 4.19%. That was somewhat higher than its late Friday level of 4.18%.
This upcoming week will bring several big updates on the U.S. job market, including the October job openings report, weekly unemployment benefits data and the all-important November jobs report. They could steer the next moves forFederal Reserve,which recently beganpulling interest rates lowerto give support to the economy.
Economists expect Friday s headliner report to show U.S. employers accelerated their hiring in November, coming offOctober s lackluster growththat was hampered by damaging hurricanes and strikes.
We now find ourselves in the middle of this Goldilocks zone, where economic health supports earnings growth while remaining weak enough to justify potential Fed rate cuts, according to Mark Hackett, chief of investment research at Nationwide.
In energy trading, benchmark U.S. crude lost 9 cents to $68.01 a barrel. Brent crude, the international standard, fell 3 cents to $71.80 a barrel.
In currency trading, the U.S. dollar rose to 149.91 Japanese yen from 149.51 yen. The euro cost $1.0493, down from $1.0502.
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AP Business Writer Stan Choe contributed.
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