Asian shares rally extended across regional markets on Thursday after strong gains on Wall Street, led by chip giant Nvidia. Investors responded positively to renewed momentum in artificial intelligence stocks, even as geopolitical tensions and Federal Reserve policy signals added caution to global markets.
The Asian shares rally followed a technology-driven advance in the United States, where Nvidia’s rise helped push major indices higher. However, rising oil prices and uncertainty around U.S. interest rates kept sentiment measured.
Asian shares rally across key markets
Japan’s Nikkei 225 climbed 0.8 percent to 57,582.93. South Korea’s Kospi surged 2.8 percent to 5,661.22 as trading resumed after holidays. Australia’s S&P ASX 200 advanced 0.9 percent to 9,088.70.
Markets in Greater China remained closed for Lunar New Year celebrations. Across Southeast Asia, gains were also visible. Thailand’s SET index rose 0.9 percent, while India’s BSE Sensex edged up 0.1 percent.
The broad Asian shares rally reflected improved risk appetite following strong corporate developments in the U.S. tech sector.
Nvidia surge drives Wall Street gains
On Wall Street, the S&P 500 rose 0.6 percent to 6,881.31. The Dow Jones Industrial Average added 0.3 percent to 49,662.66, while the Nasdaq Composite gained 0.8 percent to 22,753.63.
Nvidia advanced 1.6 percent after Meta Platforms announced a long-term agreement to deploy millions of Nvidia chips in artificial intelligence data centers. The deal reinforced Nvidia’s central position in the AI expansion and lifted broader technology sentiment.
As one of the most valuable companies globally, Nvidia’s performance significantly influenced overall market direction.
Economic data and Fed outlook in focus
Strong U.S. economic data also supported equities. Industrial production exceeded expectations, and orders for durable goods excluding transportation rose more than forecast. Home construction activity also surprised to the upside.
However, Treasury yields climbed as investors reassessed interest rate expectations. The 10-year U.S. Treasury yield increased to 4.08 percent from 4.05 percent.
Minutes from the Federal Reserve’s latest meeting indicated policymakers remain cautious about cutting rates. Several officials emphasized the need for clearer progress on inflation before supporting additional reductions. While lower rates could stimulate growth, they also risk reigniting price pressures.
The mixed signals kept investors attentive to future monetary policy decisions.
Oil rises as geopolitical tensions linger
Despite the Asian shares rally, geopolitical concerns surrounding Iran pushed oil prices higher. U.S. benchmark crude rose 30 cents to $65.36 per barrel. Brent crude gained 27 cents to $70.62.
Gold and silver held steady, reflecting balanced investor positioning between risk assets and safe havens. Meanwhile, bitcoin slipped about 1.3 percent to trade near $67,000.
Markets appear to be balancing optimism over AI-driven corporate growth with caution over interest rates and global tensions. While the Asian shares rally demonstrates renewed confidence in technology stocks, investors remain alert to macroeconomic developments that could shift sentiment quickly.
