Global equities advanced to new highs on Wednesday as several of Asia's largest exchanges resumed trading from holiday, reviving appetite for technology and AI-related stocks. A pronounced rally in semiconductor names helped South Korea's KOSPI index surge past 7,000 points for the first time since the market reopened.
Samsung Electronics led the move in Seoul, jumping 13% and eclipsing the $1 trillion market-cap threshold. The electronics heavyweight, which has recently overtaken Berkshire Hathaway in size, is now narrowing the gap with Walmart.
Energy markets moved in the opposite direction. Oil prices dropped for a second consecutive session after U.S. President Donald Trump said he would pause an operation to help escort ships through the Strait of Hormuz, citing "great progress" toward a comprehensive agreement with Iran. That comment coincided with broader risk-on positioning in equities.
China's equity market also recorded gains after trading resumed, with stocks reaching levels not seen since January 2022. Momentum was supported by a private services-sector gauge showing faster expansion in April, driven in part by a stronger pickup in new business.
Japan's markets, by contrast, stayed shuttered for a holiday.
Major index providers reflected the advance: MSCI's All-Country World Index reached a record high, alongside its Emerging Markets benchmark and its broad Asia-Pacific index excluding Japan.
Risk-sensitive currencies strengthened on the sentiment shift. The Australian dollar rose 0.7% to $0.72400, touching an almost four-year high, while the New Zealand dollar gained 0.9% to $0.59380, its strongest level in almost two months.
Early European futures painted a supportive open, with pan-region futures up 0.6%, German DAX futures up 0.4%, and FTSE futures up 1%.
Key developments to watch on Wednesday
- Company earnings: Arm Holdings, Novo Nordisk, Walt Disney, Uber, Equinor, Apollo Global Management, CVS Health, Infineon, BMW, Telecom Italia
- French data: Industrial Output for March, HCOB Services PMI for April
- German data: HCOB Services PMI for April
- UK data: S&P Global Service PMI for April, Total Reserve Assets for April
- German 7-year government debt auction
- UK 9-year government debt auction
The market picture on Wednesday combined a concentrated sector rally with broader risk appetite. Semiconductors and large-cap technology names were the most visible drivers in Seoul, while services-sector strength in China supported reopening narratives. Simultaneously, signs of easing geopolitical tension in the Gulf coincided with lower oil prices, reinforcing the move into risk assets.
Investors will track corporate earnings across a wide set of companies as well as several European economic releases and government debt auctions that could influence liquidity and market sentiment through the day.