Asia stocks climb as Samsung leads tech gains; Singapore stocks hit record high

Asian stocks were mixed on Tuesday as South Korean and Singaporean shares led gains amid concerns over inflation and rising oil prices. The MSCI AC Asia Pacific index ended the day up 0.2%, after fluctuating between gains and losses. The Nasdaq 100 Futures increased by 0.3% and S&P 500 Futures rose by 0.1%.

The Strait of Hormuz's instability added to the uncertainty for investors. U.S. President Donald Trump rejected Iran's compensation demands, making a swift deal appear less likely. Attention shifted to the upcoming U.S. Consumer Price Index report on Wednesday, which analysts fear could reignite concerns about a prolonged period of higher interest rates.

South Korea's KOSPI rose 0.8% to around 6,348, driven by Samsung Electronics' 6% increase. The tech giant's 45% year-over-year jump in July sales was a significant factor, along with semiconductor stocks. Taiwan Semiconductor Manufacturing Company (TSMC) shares rose 0.8% after reporting a 45% surge in July sales, fueled by demand for AI-related semiconductors. The index's performance reflects the overall strength in the technology sector, despite recent valuations concerns.

Chinese stocks underperformed, with the Shanghai Shenzhen CSI 300 falling 0.2% and the Shanghai Composite staying flat. Hong Kong's Hang Seng index declined by 0.7%. Indonesia's Bank Indonesia was in the spotlight after President Prabowo Subianto nominated Destry Damayanti as the sole candidate for the governor position. Citi analysts anticipate parliament will confirm her appointment, potentially before or after the August 19 policy meeting, bringing policy continuity. However, the Jakarta Stock Exchange Composite Index slipped nearly 1%.

Australia's S&P/ASX 200 gained 0.3%, as the Reserve Bank of Australia (RBA) decided to maintain its cash rate at 4.35% amid high inflation and slowing economic activity. The Australian dollar remained stable after the decision, with traders watching the RBA's signal that it's prepared to adjust policy if inflation risks rise. Analyst Tony Sycamore said the ASX 200 could advance toward the 9,350 level if it stays above the 9,000 support level.

However, he cautioned that the accelerating earnings season could lead to more disappointments than positive surprises, possibly causing the ASX 200 to retest the 9,000 support in the coming weeks. Investors await the RBA's policy decision later on Tuesday, with expectations of a unanimous hold, despite high unemployment, lower inflation than previously forecast, and weaker economic activity.

Singapore's FTSE Straits Times Index rose over 1%, hitting a record high after OCBC reported stronger-than-expected results. Meanwhile, India's Nifty 50 fell 0.6%.