On Tuesday morning (6 January, 9:18 AM, GMT+7, Bangkok time), major indices in the Asia Pacific showed a varied performance as investors brushed off geopolitical tensions in Latin America.
Markets have continued their three-year rally, largely supported by strong demand for technology and artificial intelligence-related stocks. Optimism around Fed rate cuts and robust AI-driven earnings has helped stocks rebound from their April lows.
According to Adrian Helfert, chief investment officer at Westwood, the bullish outlook for equities is unchanged, and market leadership is unlikely to shift due to events in Venezuela unless broader geopolitical issues emerge.
Morgan Stanley’s Serena Tang and Seth Carpenter noted that this year is set to be strong for risk assets, as easing fiscal, monetary, and regulatory policies are expected to work together to support growth.
In the U.S., analysts expect improved earnings and wider market leadership to be key themes for stocks, with renewed AI funding and increased M&A activity likely to be featured in credit markets. While macroeconomic factors still play a role, company-specific developments will have a bigger impact on asset returns in the current cyclical recovery.
South Korea’s KOSPI slid by 0.12% to 4,451.97. Australia’s ASX 200 dropped by 0.29% to 8,703.10, while Japan’s NIKKEI rose by 0.90% to 52,300.57.
As for stocks in China, Shanghai’s SSEC surged by 0.67% to 4,050.23. Shenzhen’s SZI expanded by 0.69% to 13,923.60, and Hong Kong’s HSI increased by 1.30% to 26,689.55.
The U.S. stock markets edged up on Monday as the Dow Jones Industrial Average (DJIA) gained 1.23% to 48,977.18. NASDAQ grew by 0.69% to 23,395.82, and S&P 500 escalated by 0.64% to 6,902.05. VIX jumped by 2.69% to 14.90.
As for commodities, oil prices settled higher on Monday as markets weighed potential disruptions to Venezuelan crude supply after the United States apprehended President Nicolas Maduro. Brent crude futures rose $1.01, or 1.66%, to close at $61.76 per barrel, while U.S. West Texas Intermediate crude advanced $1, or 1.74%, settling at $58.32 a barrel.
This morning, Brent crude futures fell 29 cents, or 0.47%, to $61.47 per barrel, and the WTI lost 32 cents, or 0.55%, to $58.00 per barrel.
Meanwhile, gold futures climbed 0.30% to $4,464.80 per Troy ounce.
