On Thursday morning (28 August, 9:17 AM, GMT+7, Bangkok time), most major indices in Asia Pacific exhibited an upward trend as investors evaluated South Korea’s interest rate decision and developments in the Indian markets after the U.S. tariffs implementation.
The Bank of Korea maintained its key policy rate at 2.50% for a second consecutive meeting, as policymakers focus on rising mortgage debt and associated financial stability risks. The decision, which matched most analyst forecasts, came as the central bank marginally increased its economic growth projection to 0.9%. This revised figure, however, still represents the country’s weakest growth pace since 2020.
Investors are bracing for market reaction in India when trading resumes after Wednesday’s holiday pause, as fresh U.S. tariffs come into effect. Indian exports face an additional 25% tariff, raising the total U.S. duty on Indian goods to as much as 50%. The South Asian country now faces some of the stiffest tariff rates to the U.S., on par with the ones imposed on exports from China and Brazil.
Japan’s NIKKEI increased by 0.38% to 42,681.91. South Korea’s KOSPI rose by 0.29% to 3,196.51, and Australia’s ASX 200 grew by 0.04% to 8,964.
As for stocks in China, Shanghai’s SSEC climbed by 0.09% to 3,803.67. Shenzhen’s SZI advanced by 0.36% to 12,339.61, while Hong Kong’s HSI dropped by 0.93% to 24,968.25.
The U.S. stock markets edged up on Wednesday as the Dow Jones Industrial Average (DJIA) expanded by 0.32% to 45,565.23. NASDAQ escalated by 0.21% to 21,590.14, and S&P 500 gained 0.24% to 6,481.4. VIX soared by 1.57% to 14.85.
As for commodities, oil prices settled higher on Wednesday, buoyed by a steeper-than-anticipated decline in U.S. crude stockpiles. Market sentiment was also shaped by investor focus on the potential ramifications of new U.S. tariffs imposed on Indian goods. Brent futures surged 83 cents or 1.2% to $68.05 a barrel, and the West Texas Intermediate (WTI) added 90 cents or 1.4% to $64.15 per barrel.
This morning, Brent futures slid 41 cents or 0.6% to $67.64 a barrel, and the West Texas Intermediate (WTI) fell 42 cents or 0.65% to $63.73 per barrel.
Meanwhile, gold futures contracted by 0.14% to $3,443.8 per Troy ounce.
