Emerging Market Asian Stocks Surge Following Strong US Jobs Data, South Korea Hits Record High

Asian emerging market equities advanced sharply in early trading on January 12, 2026, following a robust US labor market report that signaled sustained economic strength. The US Department of Labor reported that nonfarm payrolls rose by 254,000 in December, well above the consensus forecast of 180,000, while the unemployment rate held steady at 4.1%. This data reinforced expectations of prolonged high interest rates, prompting a re-pricing of global risk assets. South Korea’s KOSPI index led the regional gains, closing at 3,587.42, a new all-time high, up 1.8% for the session. The rally was fueled by strong performances in semiconductor and electric vehicle sectors, with Samsung Electronics (005930.KS) rising 2.3% and SK Innovation (096770.KS) gaining 3.1%. The increased demand for tech hardware and energy transition investments supported broader market confidence. Other regional benchmarks also posted gains: India’s NIFTY 50 climbed 1.5%, Thailand’s SET Index rose 1.3%, and Indonesia’s JCI advanced 1.1%. The resilience of EM Asian markets despite elevated US Treasury yields—10-year yields settled near 4.65%—suggests growing investor appetite for high-growth emerging economies with stable macro fundamentals. Market participants are now closely monitoring upcoming inflation data and central bank signals from the US, the European Central Bank, and the Bank of Japan. The rally underscores a shift in sentiment toward emerging markets as a hedge against potential volatility in developed markets, particularly as US fiscal policy remains uncertain and geopolitical risks persist in key commodity supply chains.