Asia stocks rise on chipmaker gains, soft U.S. inflation; Nikkei outperforms

Asian stock markets experienced an upward trend on Thursday, with Japanese chipmakers driving the gains following exceptionally strong results from Micron Technology. Softening U.S. inflation expectations alleviated concerns about another Federal Reserve interest rate hike. U.S. stock index futures also rose in Asian trading, with tech-focused Nasdaq futures outperforming.

Overnight, Wall Street finished mixed. Japanese equities, particularly chip-related stocks, led the Nikkei 225 index up 2.5%, while the broader TOPIX index increased by only 0.2%. Advantest Corp and Kioxia Holdings also saw significant gains, with shares in Advantest jumping nearly 8% and Kioxia rising 4.2%. Tokyo Electron shares surged approximately 5%.

In the U.S., Micron Technology forecasted first-quarter revenue exceeding analysts' expectations, reinforcing the belief that demand for memory chips will continue to be driven by artificial intelligence. In Taiwan, the Weighted index rose 0.3%, with Taiwan Semiconductor Manufacturing Co shares up 1%. South Korea's KOSPI climbed 0.9%, with Samsung Electronics and SK Hynix shares both increasing by 1% and 1.6%, respectively.

South Korean exports soared 83.5% year-over-year, surpassing expectations, and semiconductor shipments hit a record high due to sustained global AI investment boosting chip demand. India's Nifty 50 index slipped 0.3%, while Singapore's Straits Times Index remained largely unchanged. Mainland Chinese markets were closed for the National Day holiday, resuming on Oct.

8. Australia's S&P/ASX 200 index fell 2%, contrary to the regional pattern. The country's goods trade surplus narrowed sharply in August, falling to A$495 million from a revised A$1.351 billion in July, below economists' expectations of about A$2 billion. Despite the positive regional performance, gains were tempered by elevated bond yields and oil prices, with Brent crude near $100 a barrel amid ongoing tensions over stalled U.S.-Iran talks.