Asia-Pacific equities advance as tech rebound and Bitcoin surge boost sentiment

Stocks across the Asia-Pacific region traded mostly higher on Wednesday, supported by a rebound in U.S. technology shares and a sharp upswing in cryptocurrency prices during the previous U.S. session.

Japan and South Korea

In Japan, the Nikkei 225 climbed 0.76% in morning trading, extending gains from earlier in the week. The broader Topix, however, slipped 0.31%, reflecting uneven performance among large-cap issues.

South Korean markets also advanced. The benchmark Kospi rose 1.06%, while the small-cap-focused Kosdaq added 0.29%. Updated national accounts released by the Bank of Korea showed the country’s gross domestic product expanding 1.8% year on year in the third quarter, slightly above the initial 1.7% estimate. The revised figures were published alongside a televised address by President Lee Jae Myung, who spoke on the first anniversary of former President Yoon Suk Yeol’s unsuccessful attempt to declare martial law.

Australia

Australian equities tracked regional momentum. The S&P/ASX 200 edged up 0.32% after the Australian Bureau of Statistics reported third-quarter GDP growth of 2.1% year on year. Although the reading marked the strongest expansion since the third quarter of 2023, it fell short of the 2.2% growth predicted by economists surveyed by Reuters. Market participants assessed the figures for clues about the Reserve Bank of Australia’s policy outlook, even as consumer stocks provided modest support to the index.

China and Hong Kong

In early trade, Hong Kong’s Hang Seng Index opened 0.41% lower, with losses concentrated in property developers and select technology firms. On the mainland, the CSI 300 composite, which tracks the largest stocks listed in Shanghai and Shenzhen, gained 0.22%. Turnover remained muted as investors awaited additional economic data later in the week.

Cryptocurrency rally

Digital-asset markets staged a sharp rebound overnight. Bitcoin leapt more than 7%, breaking above the USD 90,000 threshold after a steep sell-off the previous day. The world’s largest cryptocurrency last changed hands near USD 91,462, helping to lift sentiment in broader risk assets. The move coincided with a recovery in other major tokens and followed a volatile stretch that had erased billions in market capitalization.

Imagem: imagem internet 13

U.S. lead

Gains in Asia followed a firmer close on Wall Street. On Tuesday, the Dow Jones Industrial Average climbed 0.39%, the S&P 500 advanced 0.25%, and the Nasdaq Composite rose 0.59%, driven largely by a rebound in mega-capitalization technology names. U.S. equity futures were little changed in early Asia hours, suggesting a cautious start to the next New York session.

Analysts noted that the recovery in U.S. technology stocks, combined with easing Treasury yields, provided a constructive backdrop for Asia’s risk assets. Global institutions such as the International Monetary Fund routinely monitor cross-border capital flows that can amplify these moves.

Regional outlook

Market attention in the coming days will focus on upcoming inflation data, central-bank commentary, and any further developments in the cryptocurrency space. For now, the rebound in digital assets and the stabilization in U.S. equities have offered regional investors a reprieve from last week’s volatility.

Crédito da imagem: Alex Veprik | Moment | Getty Images