Asian Session Closing Bell, Profit Taking in the Region, Kospi Hits Record High

# Asian Session Closing Bell: KOSPI Surges to Record High Amid Mixed Market Performance and Trade Policy Concerns

**Note**: This analysis is generated at the close of the Asian session, focusing on end-of-day performance in Asian markets. Event times are in US Eastern Time.

The Asian session concluded with mixed performances across major indices, reflecting varied market sentiment. Shanghai Composite led gains, while TAIEX lagged, driven by regional economic data and global cues.

## Asian Indices Performance at Close

## Market Commentary at Asian Session Close

In the Asian markets today, significant volatility was observed as geopolitical tensions and corporate developments influenced investor sentiment across the region.

**China**: The Shanghai Composite Index closed at 3,897.03, down 0.94%. Former French finance minister Eric Lombard’s remarks about the death of free trade due to U.S.-China tensions resonated in the markets, contributing to a cautious trading atmosphere. Additionally, Chinese regulators announced measures to combat price wars, which may impact various sectors.

**Japan**: The Nikkei 225 fell 1.01% to close at 48,088.80, following the collapse of Japan’s ruling coalition, which has governed for 25 years. This political instability raised concerns regarding future economic policies and leadership, leading to a drop in the yen, which ended the session at a five-month low against the U.S. dollar.

**Hong Kong**: The Hang Seng Index experienced a notable decline of 1.73%, ending at 26,290.32. HSBC’s $13.6 billion bid for Hang Seng Bank, while seen as a long-term value proposition, was met with skepticism by some investors regarding its attractiveness. The late-session sentiment was further dampened by broader market declines.

**South Korea**: In contrast, the KOSPI surged 1.73% to close at 3,610.60, marking a record high as semiconductor stocks rallied post-holiday. Samsung Electronics and SK Hynix saw significant gains, driven by strong demand in the AI sector and positive developments in U.S. chip export policies. However, the South Korean won fell to a five-month low against the dollar, impacted by ongoing U.S. tariff negotiations.

**Regional Insights**: The broader Asia-Pacific markets were influenced by declines in the U.S. markets, with the S&P/ASX 200 down 0.13% and the Straits Times Index down 0.30%. The Thai SET Index dropped 2.06%, reflecting regional economic concerns.

**Commodities and Currencies**: The dollar’s strength was notable, defying earlier predictions of its decline, which contributed to the pressure on Asian currencies. Gold and Bitcoin were highlighted as potential safe-haven assets, with Bitcoin being considered for central bank reserves by Deutsche Bank, indicating a shift in reserve strategies.

**Market Sentiment**: Overall, while some indices like the KOSPI showed resilience, the prevailing sentiment across many Asian markets

## FX, Commodities, and Crypto Performance

At the close of the Asian session, the performance of FX pairs reflected a generally subdued sentiment, with the USD experiencing minor declines against major currencies. Notably, USD/JPY fell by 0.21%, while USD/INR showed a more pronounced decrease of 0.15%. In commodities, gold advanced by 1.06%, indicating a safe-haven demand, while crude oil declined by 1.27%, reflecting bearish sentiment amidst supply concerns. In the cryptocurrency market, both Bitcoin and Ethereum experienced losses, down 0.22% and 0.56%, respectively, suggesting cautious investor sentiment amid ongoing market volatility. Overall, market participants appeared risk-averse.

**FX Pairs**

**Commodities**

**Cryptocurrencies**