Tech Strength Drives Asian Stocks Higher as Yen Pares Fall – Asia Market Wrap

Asian equities climbed, extending Wall Street’s tech-led surge, aided in part by a weaker Yen, which prompted Japan’s finance minister to issue a warning.

A regional equities index rose 0.4% as chip-related stocks rose further after Nvidia CEO Huang presented new products that boosted optimism about AI demand. US futures fell in Asia after the S&P 500 rose 0.6% and the Nasdaq 100 climbed 1.1% on Monday.

Mainland Chinese and Hong Kong stocks were outliers. Tencent plunged up to 7.3%, while Contemporary Amperex Technology fell more than 6% after the Pentagon listed them on a list of Chinese corporations classified as military enterprises.

The Yen regained ground as Japanese Finance Minister Kato stated that he will take appropriate action against what he views as one-sided, unexpected foreign exchange movements. Japan’s currency fell 0.3% to 158.11 per Dollar, after plunging to 158.42, its lowest level since July.

Following Trump’s denial, an index of Dollar strength has pared losses. The US Dollar plunged as high as 1% on Monday before trimming its loss to 0.6%. It was flat in Asia on Tuesday.