Asian Equities Head Higher Led By Tech Stocks, RBA Shortly

Asian markets are higher today as technology-driven rallies in the US lifted some regional stocks. Japanese stocks rebounded strongly, driven by tech shares and exporters, following Wall Street's record highs. South Korean markets also opened sharply higher, led by gains in major chipmakers. Australia's equities advanced, with the central bank expected to hold rates steady. Meanwhile, benchmark 10-year Treasuries remained little changed in Asia, and the dollar weakened against most G10 peers.

• Japanese stocks rebounded strongly from Monday's slump, tracking US shares higher. The benchmark Nikkei 225 index climbed 0.92%, while the Topix index rose 0.54%. Tech shares led the gains, with Tokyo Electron up 1.94% and Fanuc gaining 1.17%. Exporters also contributed significantly, with Toyota rising 1.12% and Honda jumping 2.13%. The positive sentiment was supported by optimism over a resilient US economy and easing political concerns in France.
• South Korean stocks opened sharply higher, reflecting overnight gains on Wall Street. The KOSPI is 0.91% higher with large caps leading the way higher, with the small-cap Kosdaq trading up just 0.10%. Samsung Electronics adding 1.79% and SK Hynix jumping 3.59%. Hyundai Motor and LG Energy Solution also posted gains of 1.62% and 1.49%, respectively, which contributed the most to index gains. Foreign investors were net buyers of equities on Monday, with that trend continuing this morning.
• Taiwan equities is currently up 0.90% at 22,665.12, driven by gains in semiconductor stocks. TSMC contributed significantly to the index's rise, gaining as much as 3.2% after Citigroup raised its price target by 12% to NT$1,150, citing strong utilization-rate recovery and advanced node demand, while Morgan Stanley also increased TSMC’s price target to NT$1,080, highlighting potential upside from Apple Silicon and Edge AI processors.
• Australian stocks advanced, buoyed by the rally in US technology stocks. The RBA is expected to keep its benchmark cash rate at a 12-year high of 4.35% for a fifth straight meeting. The nation's 10-year bond yield climbed one basis point to 4.12%. The ASX200 is currently up 1%
• Elsewhere, New Zealand equities are 0.71% earlier Westpac Consumer Confidence for Q2 was 82.2 vs 93.2 prior. Singapore equities are 0.43% higher, Malaysian equities are 0.46%.