On Tuesday, markets in the Asia-Pacific region experienced an uptick, with numerous benchmarks significantly increasing, reflecting the positive momentum observed on US market. South Korea’s Kospi spearheaded regional advances, surging almost 7% to finish at 5,288.08, which momentarily activated a temporary halt, or sidecar, in purchase orders. Following a decline on Monday, major players SK Hynix and Samsung Electronics experienced increases of over 9% and 11%, respectively. While Monday’s sharp decline unsettled investors, some view it as a technical correction after an extraordinary rally, according to MS Hwang. “Despite the volatility, the ‘long’ case for Korea seems to remain intact because, bottom line, the structural bull case is now centered on the memory cycle,” he stated.

The Korea Exchange reported that the trigger was activated following a rise of more than 5% in KOSPI 200 futures for a duration exceeding one minute. On Monday, a sidecar was activated on the sell side following a decline in the Kospi 200 futures, which fell by as much as 5%. The small-cap Kosdaq experienced an increase of 4.19%, concluding the session at 1,144.33. India’s Nifty 50 experienced an increase of nearly 5% at the open following the announcement from U.S. President Donald Trump regarding a trade deal between Washington and New Delhi, which would lead to immediate tariff reductions on each other’s goods. Trump stated that Indian Prime Minister Narendra Modi had consented to increase acquisitions of U.S. products, as per a Truth Social post on Monday subsequent to a conversation between the two leaders. As part of the agreement, India will cease its acquisitions of Russian crude oil and will increase its imports from the U.S., and possibly from Venezuela, Trump noted. The Nifty 50 experienced an increase of 2.73%, whereas the BSE Sensex saw a rise of 2.66%.

Japan’s Nikkei 225 experienced an increase of over 3.92%, reaching a record high of 54,720.66 at the close, while the Topix saw a gain of 3.1%, concluding the trading day at 3,645.84. The Hong Kong Hang Seng Index increased by 0.22%, reaching a level of 26,834.77, whereas the mainland’s CSI 300 rose by 1.18%, concluding at 4,660.11. Australia’s S&P/ASX 200 experienced an increase of 0.89%, reaching a level of 8,857.1. On Tuesday, Australia’s central bank increased its policy rate by 25 basis points to 3.85%, representing the Reserve Bank of Australia’s initial rate hike since November 2023, amid persistently high inflation levels. The Reserve Bank of Australia’s decision aligned with estimates and came in response to data indicating that inflation had reached its highest point in six quarters. Senior RBA officials have consistently countered the prevailing expectations regarding rate cuts. Earlier this year, Reserve Bank of Australia Deputy Gov. Andrew Hauser indicated that the probability of imminent rate cuts was “probably very low,” referencing the ongoing issue of persistently high inflation. The central bank aims for an inflation rate of 2.5%.

Investors will remain vigilant regarding gold and silver prices in light of recent fluctuations, particularly after silver prices experienced a significant decline of approximately 30% last Friday, representing the metal’s most severe one-day performance since 1980. Gold experienced a decline of nearly 10%. Spot gold was last up approximately 6% at $4,938.6 per ounce, while silver increased nearly 10% to $86.96 per ounce. Overnight in the U.S., equities experienced an uptick as US Market embarked on a new month of trading, with investors seemingly disregarding the recent declines in silver and bitcoin. The Dow Jones Industrial Average increased by 1.05%, concluding at 49,407.66, whereas the S&P 500 rose by 0.54% and finished at 6,976.44. The Nasdaq Composite recorded an increase of 0.56%, concluding the session at 23,592.11.