Tech Recovery Lifts Asian Stock Markets

Asian stock markets largely rallied on Wednesday, following a soft inflation report overnight from Washington, and gains in tech shares on Wall Street.

In addition, reports from Beijing confirmed a still-growing national economy, if somewhat tempered by sluggish retail and property sectors.

Hong Kong and Tokyo trading floors finished in the green, although Shanghai edged lower. Other regional exchanges gained ground, led by a 6.2% rise on Seoul's KOSPI index.

In Japan, the Nikkei 225 opened higher on overnight Wall Street cues and held ground, finishing up 1.5% as traders again embraced tech shares.

The benchmark Nikkei 225 rose 1008.01 to 68,751.51, as gaining issues outnumbered losers 153 to 68.

Leading the upside was semiconductor manufacturing equipment maker Lasertec, up 10.2%, while frozen food distributor Nicherei declined 8.2% after a cyber-attack disrupted operations.

In economic news, Japan's tertiary (services) index rose 1.1% in May from April, reaching the highest level since 2019.

In Hong Kong, the Hang Seng Index opened evenly and rose to the close, after reports from Beijing affirmed China's economy is only marginally below state growth targets.

The broad gauge Hang Seng rose 340.37 to 24,681.10, as gaining issues outnumbered losers 68 to 21. The Hang Seng TECH Index gained 1.3% on the day, while the Mainland Properties Index rose 1.8%.

Leading the upside was Innovent Biologics, gaining 7.8%, while Semiconductor Manufacturing International declined 2.6%.

On the mainland, the Shanghai Composite fell 0.3% to 3,955.58.

In economic news, retail sales in China rose 1% on the year in June, reported the National Bureau of Statistics (NBS).

Property investment in China fell 18% on the year in the first six months of 2026, according to the NBS.

The nation's industrial production grew by 5.3% on the year in June, while China's Q2 gross domestic product (GDP) expanded 4.3%, said the NBS.

On the other regional exchanges, the Taiwan TWSE gained 2%; the Australian ASX 200 advanced 0.4%; the Singapore Straits Times Index rose 1.2%, and the Thai Set rose 0.3%. In late trading in Mumbai, the Sensex was up 0.2%.

The MSCI All Country Asia Pacific Index rose 1.8% on the day.