Nikkei 225 ticked up 0.28% to 29,200 points, a modest lift that mirrors the tech‑heavy rally on Wall Street that saw the S&P 500 finish 0.9% higher, just shy of its all‑time peak.
Topix rose 0.47% to 21,650, while Hong Kong’s Hang Seng futures gained 1% ahead of the market’s opening. South Korea’s KOSPI slipped 0.04% after a market holiday, and MSCI’s Asia Pacific Index edged up 0.1% as investors weighed higher bond yields. India's GIFT Nifty, a pre‑open gauge, trended slightly positive at 18,450.
U.S. Treasury yields pushed higher, with the 10‑year climbing 7 basis points to 5.34% and the 30‑year rising to 5.70%, the steepest level seen since 2002. Short‑dated Treasuries also lost ground, adding 2–4 basis points to their spreads.
Bloomberg’s latest AI‑investment report says corporate earnings remain the anchor for the rally, citing $120 billion in AI‑related spend in 2025. A study by the ASEAN+3 Macroeconomic Research Office warns that a sudden AI bust could expose Asia’s supply chains to a shock, potentially dragging exports and capital flows.
Market watchers will keep an eye on next week’s earnings from the region’s tech giants and the Fed’s policy meeting. If yields stay above mid‑5% and inflation stubbornly high, the AI‑driven optimism may face a tightening cycle, according to analysts at Citi and JPMorgan.