Kospi surged 1.80% on Friday, while the Nikkei 225 climbed 1.38% and Topix rose 1.75%. The MSCI Asia Pacific Index gained 0.6%, the first broader rally since the previous week’s decline. Hang Seng futures lifted 0.9%, showing cautious optimism amid a global shift away from AI‑driven stocks.
In India, the GIFT Nifty signaled a bullish start for the trading day after the Nifty reclaimed the 23,000 threshold and the Sensex advanced 1,534 points on Thursday. Despite these gains, the broader market lagged behind the front‑line indices, reflecting a cautious stance on domestic earnings.
Indonesia faced scrutiny after MSCI announced that Jakarta would no longer qualify as an emerging market, citing governance concerns. The Jakarta Composite fell 1.33% on Thursday, and MSCI warned that reclassification to frontier status would only occur after clear evidence of improvement.
On the global front, the S&P 500 closed 0.3% higher and its equal‑weight version leapt 1.4%, led by healthcare and consumer staples. US Treasury yields slipped 13 basis points to 5.06%, while Fed officials hint at a potential rate hike in October. Oil prices edged up, with Brent trading near $106 and WTI around $97, as supply tensions in West Asia dominate sentiment.
Looking ahead, traders will monitor the Fed Chair's upcoming fireside chat in Bangkok for clues on policy direction, while AI‑linked stocks remain under scrutiny. Market participants remain wary of volatility, positioning for a potential rebound or a sharp correction depending on earnings releases and macro data.