On Thursday (5 November, 9:30 AM, GMT+7, Bangkok time), most major indices in the Asia-Pacific tracked Wall Street’s gains, as a clear Democratic win in the U.S. midterm elections reduced political uncertainty.
Investors anticipated that a split government in Washington would likely hinder President Trump’s policy initiatives, and his acknowledgment of the results provided further reassurance. The sentiment was also bolstered by a slide in crude oil prices, which eased inflation concerns.
On the other hand, semiconductor shares in Asia, particularly South Korea, experienced notable declines amid speculation that Democratic control of Congress might introduce tighter regulations on data-center expansion, affecting demand for AI and related hardware.
Despite potential legislative gridlock, analysts noted that core drivers such as consumer spending and the AI sector remain resilient. Investors are awaiting U.S. jobless claims data on Thursday and employment figures due Friday.
Japan’s NIKKEI lost 0.30% to 62,000.66. South Korea’s KOSPI plunged by 3.53% to 5,483.43, and Australia’s ASX 200 surged 1.95% to 9,007.10.
Shanghai’s SSEC increased by 0.16% to 3,691.98. Shenzhen’s SZI rose by 1.77% to 11,536.22, and Hong Kong’s HSI jumped by 2.79% to 24,586.86.
The U.S. stock markets edged up on Wednesday as the Dow Jones Industrial Average (DJIA) soared by 3.03% to 53,356.12. NASDAQ gained 1.44% to 25,736.51, and the S&P 500 advanced by 1.58% to 7,688.62. VIX plummeted by 20.26% to 16.61.
As for commodities, oil prices trended lower on Wednesday to their lowest levels in over two months as traders anticipated that the Congressional shift could prompt an earlier resolution to the U.S.-Iran conflict. Brent crude ended the trading day down 8.7% at $94.62 per barrel, a decline of $8.98, while U.S. West Texas Intermediate crude finished at $88.12 per barrel, a decrease of $7.97 or 8.3%.
This morning, Brent futures dropped 53 cents, or 0.56%, to $94.09 per barrel, and WTI futures declined 73 cents, or 0.83%, to $87.39 per barrel.
Meanwhile, gold futures grew by 1.50% to $4,134.10 per troy ounce.
