Asian Equities Mostly Higher, Tech the Top Performing Sector

Asian markets opened mostly higher on Thursday, following gains on Wall Street as the Federal Reserve's cautious outlook on interest rates maintained optimism for rate cuts. Equity benchmarks rose in Australia and South Korea, with Japanese shares mostly flat. The S&P 500 edged higher in early Asian trading after hitting a record high, fueled by the cooling US core consumer price index and the Fed's updated rate cut projections. Investors remain attentive to the European Union's new tariffs on Chinese electric cars and the Bank of Japan's upcoming policy meeting.

• Japanese stocks have opened mixed on Thursday. The benchmark Nikkei 225 index up 0.13% was supported by strong performances in tech stocks following advances in the Nasdaq, while the broader Topix index is down about 0.55%. Shares of Apple suppliers in Japan benefited from Apple's record high on Wall Street, contributing to the overall positive sentiment. However, the market remains cautious as investors anticipate further economic data and decisions from central banks. The Bank of Japan begins its two-day policy meeting, with a decision due on Friday.
• South Korean shares surged this morning, buoyed by overnight gains on Wall Street. The KOSPI opened strong and is currently 1.90% higher, the move mirrored the tech-led advances that pushed the Nasdaq to a new high, with Samsung Electronics, up 1.90% and SK hynix, up about 4% leading the way, while the USDKRW is 0.60% lower at 1,367.15 further boosting market sentiment.
• Taiwan equities are higher today, led higher by tech names with the Philadelphia SE Semiconductor Index trading up another 2.90% overnight. Later today we have the Central Bank interest rate decision, where they are expected to hold rates steady at 2%. The Taiex is currently trading about 1% higher.
• Australian stocks opened on a positive note today, following gains in US markets after the Fed signaled a cautious approach to interest rates. The ASX 200 rose 0.6%, driven by strength in financials and health sector shares. Commonwealth Bank of Australia led the gains, contributing significantly to the index rise with a 1.1% increase. Investors are now focusing on upcoming Australian jobs data which will be released in about 20 minutes.