Stock market: Asian markets rise, driven by AI and semiconductors

Asian stock markets are mostly up, buoyed by continued optimism about the prospects for shares linked to artificial intelligence and semiconductors.

Japan’s benchmark Nikkei 225 index jumped by 1.6 per cent in early trading, settling at 68,609.92. The Australian S&P/ASX 200 index fell by 0.6 per cent to 9,155.80. South Korea’s Kospi index jumped by 3.9 per cent to 6,835.55. Hong Kong’s Hang Seng rose by nearly 0.1% to 25,453.45, whilst the Shanghai Composite gained 0.4% to 3,961.82.

Sentiment in the Asian markets was boosted by developments on Wall Street, which yesterday closed just a hair’s breadth away from its record high. This was driven by the performance of shares linked to artificial intelligence and the US inflation figures. The S&P 500 index rose by 0.3 per cent, marking its first gain since hitting an all-time high on Friday. The Dow Jones Industrial Average fell by 21 points, or less than 0.1 per cent, whilst the Nasdaq Composite rose by 0.5 per cent.

Artificial intelligence stocks helped drive the market higher after strong earnings results bolstered hopes that they can continue to deliver growth substantial enough to justify their massive price rises.