Markets in the Asia-Pacific region traded mixed on Tuesday, following a rise in Wall Street last night where the Dow Jones Industrial Average and the S&P 500 set new records.
The positive trend overseas was coupled with notably strong trade data from South Korea, where a surge in exports resulted in a trade surplus of $6.7 billion for September, a significant increase from the $3.7 billion recorded in August.
In trading that saw fluctuations through the day, South Korea’s Kospi notched a 0.13% gain. In Australia, the S&P/ASX 200 posted a robust rise of 0.91% shortly after the markets opened. The Japanese markets also saw appreciable gains, with the Nikkei 225 increasing by 1.59% and the Topix index adding 1.15%.
Contrasting with these increases, Chinese indices faced some downward pressure. The CSI 300 in mainland China declined by 0.67%, while Shanghai Composite fell 0.25% and the Hang Seng index in Hong Kong dropped by 0.49%.
In the United States, the S&P 500 advanced by 0.77% to 5,859.85 points. The Dow Jones Industrial Average rose by 201.36 points to finish at 43,065.22, marking its first close above the 43,000 threshold. Meanwhile, the tech-heavy Nasdaq Composite saw an increase of 0.87%, concluding at 18,502.69.
On the commodities front, oil prices dropped in early trading across Asia on Tuesday. This followed an update from OPEC, which revised down its forecasts for global oil demand for the years 2024 and 2025. Furthermore, geopolitical tensions added to the volatility after reports indicated Israel could focus strikes on Iranian military rather than nuclear or oil facilities.
Brent crude futures tumbled by 2.87% to $75.24 per barrel, and West Texas Intermediate crude dropped by 2.91% to $71.68 per barrel, with both benchmarks closing around 2% lower on Monday.
Additionally, the gold market witnessed a slight retreat amid global economic shifts and a strengthening U.S. dollar. Despite China’s attempts to boost its economy, which did not significantly lift investor sentiment, spot gold prices declined by 0.2% to $2,649.98 per ounce, while U.S. gold futures fell by 0.4% to end at $2,665.6 per ounce.
