Asia Markets Track US Record Highs Amid Geopolitical Tensions

Asian markets showed resilience on Friday, with Australia's S&P/ASX 200 climbing 0.98% to break an eight-day losing streak. This movement follows a historic session in the United States, where the S&P 500 closed above the 7,200 threshold for the first time, ending the session at 7,209.01. The bullish momentum in the US was fueled by robust earnings reports from industry leaders Apple and Caterpillar. This corporate strength outweighed a softer-than-expected economic reading from the US Commerce Department, which reported first-quarter GDP growth of 2%—missing the 2.2% consensus estimate despite improving from the previous quarter's 0.5%. Market volatility was evident in the energy sector following reports that the US military would brief President Donald Trump on potential actions against Iran. Brent crude surged to over $126 per barrel before settling at $110.40, while West Texas Intermediate (WTI) edged up 0.61% to $105.71. Looking ahead, global investors are pivoting toward upcoming US macroeconomic catalysts. Market participants are awaiting the May inflation report and the Federal Reserve's policy decision scheduled for Wednesday night, which are expected to dictate the next phase of the current rally.