Asian markets showed positive momentum on Tuesday, with Chinese technology stocks experiencing significant gains following a meeting between Chinese President Xi Jinping and industry entrepreneurs. This meeting is being interpreted as a demonstration of support for the technology sector.
In the market updates, Hong Kong's Hang Seng index rose by 1.64% to 22,986.88, while the Shanghai Composite added 0.15% to reach 3,360.95. Japan's Nikkei 225 also saw an increase of 0.39% to 39,296.11, buoyed by better-than-expected economic growth figures for the fourth quarter.
Not all markets saw gains, as Australia's S&P/ASX 200 slipped by 0.53% to 8,491.70, while South Korea's Kospi index was up by 0.43% to 2,621.73.
Chinese technology giants like Alibaba, Xiaomi, Tencent, and Meituan experienced notable stock price surges, with gains exceeding 4% for some companies. President Xi Jinping's meeting with industry leaders, including Jack Ma, is seen as a move to instill confidence and stability in the technology sector following recent regulatory actions.
Market analysts are closely monitoring the developments in Chinese and Hong Kong stock markets, which have outperformed other major markets this year. Factors such as the U.S.-China relationship, ongoing tariff discussions, and advancements in artificial intelligence are influencing market sentiments.
Global markets are also keeping a watchful eye on the impact of recent tariff announcements by former U.S. President Trump. However, there is optimism that negotiations could prevent a full-blown trade war, given the timeline for the tariffs to take effect.
In energy trading, benchmark U.S. crude oil prices rose by 54 cents to $71.25 a barrel, while Brent crude, the international standard, increased by two cents to $75.24 a barrel. Currency markets saw the U.S. dollar strengthening against the Japanese yen and the euro.
Overall, the positive performance of Asian markets, particularly driven by the surge in Chinese tech stocks, reflects a sense of optimism and resilience amid global economic uncertainties.
