Markets across Asia posted gains for the fourth straight week, led by strong performances in technology stocks, as investor sentiment improved on expectations of sustained global demand and favorable earnings trends.
- MSCI Asia Pacific Index rose 1.7% for the week to close at 214.33
- Nikkei 225 gained 2.4%, ending at 41,870.15
- TSMC shares surged 5.2% on strong AI chip demand
- Samsung Electronics rose 4.1% following strong earnings
- Alibaba Group shares climbed 6.3% on revenue growth
- China and Japan manufacturing activity indicators expanded for third consecutive month
Asian equities closed the week on a positive note, marking their fourth consecutive weekly rise as technology shares powered the rally. The MSCI Asia Pacific Index advanced 1.7% for the week, ending at 214.33, while Japan’s Nikkei 225 climbed 2.4% to close at 41,870.15, its highest level since late 2023. South Korea’s KOSPI added 1.9%, reaching 2,768.33, driven by gains in semiconductor and electronics firms. Tech stocks were the primary driver, with Taiwan Semiconductor Manufacturing Company (TSMC) surging 5.2% on strong demand for advanced chips, particularly from AI-related data center investments. Samsung Electronics rose 4.1% following better-than-expected quarterly earnings and renewed optimism over memory chip pricing recovery. In China, the CSI 300 Index gained 1.8%, supported by a 6.3% jump in shares of Alibaba Group, which posted a 14% year-over-year revenue increase in its latest quarter. The rally reflects growing confidence in the region’s economic resilience and technology sector momentum. Global demand for AI infrastructure, ongoing semiconductor supply chain normalization, and supportive monetary policy in several economies contributed to the uptick. Investors also responded positively to recent data showing manufacturing activity in China and Japan expanding for the third month in a row. Market participants are now turning attention to upcoming U.S. inflation reports and central bank policy signals, which could influence capital flows into Asian markets. The strong weekly performance has boosted investor sentiment, particularly in tech-heavy indices, with trading volumes rising across major exchanges in Seoul, Tokyo, and Hong Kong.