(RTTNews) – Asian stocks ended mixed on Tuesday as chip stocks rebounded from recent declines, helping offset concerns over a return of armed hostilities in the Middle East.
Reports of media efforts between the United States and Iran helped limit regional losses, if any.
The dollar held near a one-week high as Houthi leaders in Yemen declared a naval blockade against Saudi Arabia and U.S. President Donald Trump vowed Iran will pay dearly for every U.S. soldier killed.
Trade tensions also returned to the spotlight after Trump announced new 50 percent tariffs on a wide range of Canadian imports, citing what the administration calls discriminatory treatment of American products.
Gold jumped more than 1 percent to $4,074 an ounce on hopes the U.S. and Iran will resume peace negotiations.
Brent crude futures steadied around $89 a barrel as U.S. attacks on Iran continued for a tenth consecutive day, and Tehran retaliated by attacking several U.S. targets across the Gulf.
China’s Shanghai Composite index jumped 1.79 percent to 3,864.37, a day after several state-owned enterprises announced share buybacks and increased dividend payouts.
Hong Kong’s Hang Seng index finished marginally lower at 25,132.29 amid renewed U.S.-Iran tensions and fresh tariff concerns. Tech stocks performed well, with SMIC surging 8.2 percent.
Japanese markets rallied as traders returned to their desks after a long holiday weekend. The Nikkei average soared 3.26 percent to 66,232.19, while the broader Topix index settled 2.44 percent higher at 4,014.95.
Kioxia Holdings jumped 17.2 percent and SoftBank surged 6 percent as AI concerns subsided and investors braced for upcoming U.S. tech earnings.
Seoul stocks ended sharply higher to snap their two-day losing streak as investors went bargain hunting for tech heavyweights. The Kospi index climbed 3.56 percent to 6,747.95.
Samsung Electronics jumped 6.2 percent and SK Hynix added 4.1 percent, driven by a bullish outlook on the memory chip sector from global investment banks.
Australian markets ended marginally higher, recovering from an early slide on concerns over the broadening Middle East conflict and increased risks to global energy supplies. Energy stocks and gold miners advanced, offsetting declines in the banking sector.
Across the Tasman, New Zealand’s benchmark S&P/NZX-50 index slipped 0.29 percent to 13,656.03 on rate hike bets after data showed consumer price inflation jumped in the second quarter on the back of surging fuel costs.
Overnight, U.S. stocks ended lower for a third consecutive session as Treasury yields surged on worries about the outlook for inflation and interest rates amid the escalating Middle East conflict.
The narrower Dow dipped 0.6 percent, the S&P 500 eased 0.2 percent and the tech-heavy Nasdaq Composite finished marginally lower.
