Asia-Pacific markets displayed a mixed performance on Tuesday as investors took cues from Wall Street’s overnight results and awaited the US Federal Reserve’s decision scheduled for December 18.
Regional market performance
Australia’s S&P/ASX 200 led regional gains, rising 0.73% as strength in resource and financial stocks drove the index higher.
Japan’s Nikkei 225 and Topix edged up 0.12% and 0.11%, respectively, reflecting cautious optimism.
In contrast, South Korea’s Kospi fell by 1%, and the tech-heavy Kosdaq slipped 0.92%, dragged down by profit-taking in semiconductor and biotech stocks.
Hong Kong’s Hang Seng Index declined 0.4%, with losses concentrated in technology and real estate.
Meanwhile, mainland China’s CSI 300 managed a modest 0.34% gain, buoyed by strength in consumer staples and industrials.
Wall Street sets the tone
In the US, the Nasdaq Composite hit a new record, climbing 1.24% to close at 20,173.89, powered by a rally in tech stocks.
The S&P 500 also edged up 0.38%, ending the session at 6,074.08. However, the Dow Jones Industrial Average fell for the eighth consecutive session, losing 0.25% to close at 43,717.48.
Nvidia, a key player in artificial intelligence chips, saw its shares decline by 1.7%, marking a 10% fall from its November peak and entering correction territory.
Investors remain cautious ahead of the Fed’s decision, with the CME FedWatch tool indicating a 98.2% probability of a 25-basis-point interest rate cut.
Key corporate updates
Alibaba’s $1.3 billion loss from Intime sale
Alibaba announced the sale of its department store business, Intime, for 7.4 billion yuan ($1 billion) to a consortium led by Youngor Group and Intime’s management team.
The transaction will result in a one-time loss of approximately 9.3 billion yuan ($1.3 billion).
Alibaba acquired Intime in 2017 for $2.6 billion, marking a significant markdown in its investment.
SoftBank’s US investment plans boost shares
SoftBank Group shares rose 3.15% after CEO Masayoshi Son disclosed plans to invest $100 billion in the US, focusing on artificial intelligence and infrastructure projects.
This initiative, announced during Son’s visit to President-elect Donald Trump, aims to create 100,000 jobs and deploy the funds before the end of Trump’s term.
Singapore exports rebound
Singapore’s non-oil domestic exports surprised on the upside, growing 3.4% year-on-year in November, reversing a 4.7% decline in October.
The figure exceeded analysts’ expectations of a 0.7% drop. Electronics exports led the charge, while non-electronics declined.
On a month-on-month basis, exports surged 14.7%, far outpacing the anticipated 8% rise.
Investors across the Asia-Pacific region remain focused on the Fed’s upcoming interest rate decision and key corporate announcements.
Mixed market performances underscore lingering uncertainties, while stronger-than-expected data from Singapore and corporate activity in China and Japan provide pockets of optimism.
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