Asian Markets Show Mixed Performance Amid Tech Gains and Sector Losses
Asian stock markets showed a mixed performance on Friday. Technology shares gained, boosted by strong earnings from leading chipmaker TSMC, but declines in other sectors limited overall market advances.
Markets in the region took a slightly positive cue from Wall Street, where tech and banking stocks helped break a two-day losing streak. S&P 500 futures were up 0.3% early Friday morning, as investors turned attention toward a busy week of U.S. corporate earnings. Global geopolitical tensions, including unrest in Iran and a U.S. presence in Venezuela, kept market optimism cautious.
Tech Stocks Lead the Gains
Tech-heavy markets in Asia saw notable increases. South Korea’s KOSPI rose over 1%, led by chipmakers, with Samsung Electronics up 3.5% and SK Hynix adding 0.8%. TSMC, the world’s largest contract chipmaker, reported better-than-expected fourth-quarter earnings and confirmed that AI-driven demand remains strong. The company’s shares jumped 2.1% in Taiwan and surged more than 4% in U.S. trading, prompting a broader rally across regional technology stocks.
Japanese and Hong Kong tech shares also advanced, though the Nikkei 225 and Hang Seng indexes were restrained by losses in other sectors. Profit-taking and lingering China-Japan diplomatic tensions contributed to the muted performance.
China Faces Market Challenges
China’s markets fell slightly, with the Shanghai Composite and CSI 300 declining about 0.2%. The government recently tightened rules on high-frequency trading and increased margin financing requirements to curb speculative activity. Investors responded cautiously, concerned about regulatory overreach.
Attention now turns to China’s fourth-quarter GDP data, due Monday, which will provide insight into the country’s economic performance. Analysts expect growth to remain strong, supported by government stimulus measures and holiday season consumer spending.
Other Asian Markets
Elsewhere in Asia, Australia’s ASX 200 rose 0.6%, with local banks following gains from U.S. peers after strong results from Goldman Sachs and Morgan Stanley. Singapore’s Straits Times index increased 0.3%, despite a sharper-than-expected drop in December non-oil exports. India’s Nifty 50 gained 0.7%, recovering some losses amid concerns over U.S.-India trade relations.
