On Wednesday, stocks in South Korea and Japan reached unprecedented levels, buoyed by regional gains following a technology-driven surge on US Market. This rally was supported by diminishing worries regarding potential disruptions in certain industries due to advancements in artificial intelligence. Japan’s Nikkei 225 experienced an increase exceeding 2%, concluding at a new peak of 58,583.12, whereas the Topix rose by 0.71% to reach 3,843.16. In a similar vein, South Korea’s Kospi increased by 1.91%, surpassing the 6,000 threshold for the first occasion. The index concluded the trading session at 6,083.86. Prominent index constituents SK Hynix and Samsung Electronics experienced increases of 0.6% and 0.88%, respectively. The small-cap Kosdaq experienced a marginal increase of 0.02%, reaching a level of 1,165.25. Australia’s S&P/ASX 200 experienced an increase of 1.17%, concluding the trading day at 9,128.3. The Hong Kong Hang Seng index experienced an increase of 0.45%, whereas the mainland’s CSI 300 saw a gain of 0.6%, reaching 4,735.89. Taiwan’s benchmark stock index increased by 1.8%, achieving a record high for the fifth consecutive session.

Bitcoin experienced an increase of approximately 2%, returning to the $65,000 range after a brief dip below $63,000 on Tuesday. “The global economy seems to be gaining a bit more stability as the impacts of fiscal and monetary policy persist in bolstering activity. Financial markets, however, have faced challenges in establishing a clear direction due to several headwinds,” BMI stated in a report on Wednesday, referring to the recent AI-driven volatility as well as increased geopolitical risks. “We assign a 50% probability to a US-led military attack on Iran, which is contributing to an elevated risk premium in oil prices and, to some extent, US dollar strength,” BMI’s analysts stated. Investors are evaluating U.S. President Donald Trump’s State of the Union address. We are currently engaged in negotiations with them. They seek to negotiate, yet the crucial assurance remains unspoken: we will never possess a nuclear weapon. “My preference is to solve this through diplomacy,” Trump stated during the address.

The U.S. West Texas Intermediate crude futures experienced an increase of 0.72%, reaching $66.1 per barrel, whereas Brent Crude futures saw a rise of 0.73%, settling at $71.29 per barrel. In the U.S. overnight, equities experienced an upward trajectory, primarily driven by advancements in Advanced Micro Devices and the software sector. AMD’s shares experienced an increase of 8.8% following the announcement of a multiyear agreement with Meta Platforms. The newly formed partnership involves the deployment of up to 6 gigawatts of AMD’s graphics processing units for artificial intelligence data centers. Meta is set to invest in AMD via a performance-based warrant, which allows for the acquisition of up to 160 million shares of the semiconductor company. The decision follows a statement from Meta indicating its utilization of millions of Nvidia chips in the expansion of its data centers. The shares of the prominent AI chip manufacturer experienced an increase of 0.7%.

The S&P 500 experienced an increase of 0.77%, concluding at 6,890.07, whereas the Nasdaq Composite saw a rise of 1.04%, finishing at 22,863.68. The Dow Jones Industrial Average increased by 370.44 points, representing a rise of 0.76%, concluding at 49,174.50. The 30-stock index experienced support from a nearly 2% increase in Home Depot shares, following the company’s earnings surpassing expectations for the first time in a year. IBM shares, which declined in the previous trading session due to the previously mentioned concerns regarding AI, also contributed to the gains of the Dow.