Asia-Pacific markets saw mostly positive results on Thursday, mirroring the rally in US stocks, which were buoyed by a surprise drop in core inflation figures for December and strong earnings reports from major banks.
The Bank of Korea surprised economists by keeping its benchmark interest rate steady at 3%, defying expectations for a 25-basis-point cut. The central bank stated it would continue to assess both domestic and international economic conditions, with concerns about the growing risks to economic growth and increased volatility in exchange rates.
South Korea’s Kospi index climbed by 1.23%, finishing at 2,527.49, while the smaller-cap Kosdaq index rose 1.77% to 724.24. The Korean won weakened slightly, trading at 1,456.91 against the US dollar.
Japan’s Nikkei 225 index posted a modest gain of 0.33%, closing at 38,572.60. Meanwhile, the Topix index fell slightly by 0.09% to 2,688.31. The annual producer price index in Japan rose 3.8% in December, aligning with economists’ expectations.
In Hong Kong, the Hang Seng index advanced 1.08%, while mainland China’s CSI 300 saw a slight increase of 0.11%, ending at 3,800.38. In Australia, the S&P/ASX 200 gained 1.38%, closing at 8,327.
The US stock market also saw significant gains overnight, with the S&P 500 rising 1.83% and the Nasdaq Composite jumping 2.45%, as market sentiment improved following the inflation report.
Crude oil prices edged higher, supported by news of a ceasefire deal between Israel and Hamas. Brent crude rose 0.21%, and WTI crude gained 0.29%, reaching $80.27 per barrel.
CNBC, the Hill, and Investor’s Business Daily contributed to this report.
