Asian equities rally amid Nikkei near‑record and Fed outlook
On 17 June 2026 Asian stock markets posted broadly higher gains. Japan’s Nikkei 225 rose 0.6 % to approach the 70,000‑point record set the previous day, while the TOPIX advanced 0.75 %. Chip‑making and industrial shares led the Japanese market, buoyed by expectations of sustained artificial‑intelligence‑driven demand.
Trade data released earlier in the day showed that AI‑related electronics and semiconductor exports propelled Japan’s May export growth, narrowing the country’s trade deficit to a smaller‑than‑expected shortfall.
SoftBank Group Corp. (TYO:9984) declined as much as 5 % after reports that OpenAI – in which SoftBank is a major investor – was confronting rising costs and persistent losses from operating its expensive AI models.
Japanese equities firmed despite a 25‑basis‑point interest‑rate hike by the Bank of Japan on Tuesday; the central bank also signalled readiness to raise rates further if energy‑driven inflation persists.
In Singapore, the Straits Times Index surged more than 1 % to a fresh all‑time high, supported by non‑oil export growth in May that accelerated at the fastest pace in over two decades, driven by AI‑related electronics demand.
Australia’s ASX 200 climbed 0.5 % after the Reserve Bank of Australia left policy rates unchanged on Tuesday, matching market expectations.
China’s CSI 300 index rose 0.3 % while the Shanghai Composite slipped 0.1 %; Hong Kong’s Hang Seng fell 0.75 % following weaker Chinese economic data released earlier in the week. South Korea’s KOSPI traded sideways after a period of heightened volatility in domestic chip stocks.
Futures for India’s Nifty 50 rose 0.6 % and S&P 500 futures gained 0.2 % in Asian trade, reflecting continued focus on the Federal Reserve’s two‑day policy meeting. The Fed is widely expected to keep the federal funds rate unchanged and to signal no immediate policy shift, with particular attention on Chair Kevin Warsh’s outlook for the economy and interest rates.
Beyond the Fed, market participants are also watching a memorandum of understanding between the United States and Iran scheduled for Friday, which aims to end hostilities and reopen the Strait of Hormuz.
Index snapshots at the time of writing showed the following moves: US 500 –0.57 %, Australia’s ASX 200 +0.54 %, Japan’s Nikkei 225 +0.83 %, Hong Kong Hang Seng –0.86 %, India’s Nifty 50 +0.25 %, South Korea KOSPI +1.58 %, Singapore STI +1.23 %, Shanghai Composite +0.40 %, TOPIX +0.55 %, SoftBank (9984) –3.13 %, CSI 300 +0.97 %.