Most Asian Markets Rise on AI Momentum and Investor Optimism

key takeaways

Most Asian stocks edged higher on Monday following a busy week, buoyed by another AI-driven tech rally on Wall Street.

Investor sentiment remained positive after an upbeat end to October that featured easing China-US tensions, a Federal Reserve rate cut, and strong earnings from major firms such as Amazon.

Traders are now awaiting key US jobs data expected later this week, though the ongoing government shutdown — with Democrats and Republicans still deadlocked — could delay its release.

While markets have so far shrugged off the shutdown, analysts warned that its effects on Americans could soon grow.

“The shutdown could soon become the longest on record, though markets remain largely calm,” wrote Chris Weston of Pepperstone. “Public frustration is likely to rise this week as food aid for low-income families pauses, domestic travel faces disruptions, and access to Affordable Care Act plans becomes more difficult.”

Global markets have rebounded strongly since April’s slump triggered by President Donald Trump’s tariff measures. Wall Street’s major indexes have repeatedly hit record highs, powered by expectations and deliveries of Fed rate cuts and a sustained boom in artificial intelligence investments.

AI mania has pushed valuations skyward, with chipmaker Nvidia becoming the first company to hit a $5 trillion market value last week.

Wall Street’s Friday gains carried over into Asia, with Hong Kong, Singapore, Wellington, and Taipei advancing. Seoul jumped over 1% to a record high amid improving South Korea–China relations.

However, Shanghai, Sydney, and Manila slipped, while Tokyo’s market was closed for a holiday.

Investors are also monitoring developments after Trump and China’s President Xi Jinping agreed to ease rare earth export restrictions and lower US tariffs. Still, US Treasury Secretary Scott Bessent warned that Washington could reimpose tariffs if Beijing restricts exports again.

Oil prices inched up after OPEC+ confirmed plans to boost production in December, with a pause expected in early 2026.

Gold traded around $4,000 after China removed a tax break on purchases. The metal has fallen sharply from its October 20 record high above $4,381, as investors took profits following a 60% surge earlier this year.

Key figures (as of 0230 GMT):