Asian markets surged on Thursday, following a strong rally in US small-cap stocks, particularly the Russell 2000 index. This boost in American stocks led to increased investor optimism, driving gains across major Asian indices.
Both Japan’s Nikkei 225 and South Korea’s Kospi saw notable increases, as investors responded to signs of economic resilience in the US. The rally in small-cap stocks has sparked confidence that global growth could continue, helping to alleviate concerns over slower growth in Asia.
In Hong Kong, the Hang Seng index climbed, with technology stocks leading the way. Investors expect tech companies in Asia, particularly in sectors like semiconductors, to benefit from the recovery in the global tech market.
China’s stock markets showed more moderate gains, as investors remained cautious amid concerns over the country’s economic recovery and regulatory challenges. Worries about debt levels persist, tempering broader market optimism.
The rally in US small-caps has injected fresh energy into Asian equities, signaling a renewed risk appetite among investors. As the week continues, traders will focus on upcoming economic reports and corporate earnings to gauge how global markets will evolve.
