Asian Shares Mixed Ahead Of Trump-Xi Summit

(RTTNews) - Asian stocks turned in a mixed performance on Wednesday as strong momentum in technology stocks helped investors look past concerns over rising U.S. inflation and the Middle East tensions.

The dollar was firm against major currencies while gold was subdued a tad above $4,700 an ounce as investors reassessed the path for interest rates.

Brent crude futures traded nearly 1 percent lower below $107 a barrel, snapping a three-day rally.

China's Shanghai Composite index jumped 0.67 percent to 4,242.57 ahead of the upcoming meeting between U.S. President Donald Trump and Chinese President Xi Jinping in Beijing, with Taiwan, tariffs and the Strait of Hormuz on the agenda.

Hong Kong's Hang Seng finished 0.15 percent higher at 26,388.44 after a choppy session.

Japanese markets rose notably as U.S. Treasury Secretary praised Japan's economic resilience and touted coordination with Japan on tackling excessively volatile currency moves.

The Nikkei average jumped 0.84 percent to 63,272.11, surpassing the 63,000 mark for the first time and setting a new record high, led by trading companies and financial stocks.

The broader Topix index closed 1.20 percent higher at 3,919.48. The yen briefly strengthened after authorities signaled support for yen intervention.

Seoul stocks rebounded after an early sell-off. The Kospi average surged 2.63 percent to 7,844.01, closing at a fresh peak on renewed optimism around artificial intelligence.

Samsung Electronics rose 1.8 percent despite failed wage talks with its union. The stock reversed early losses after officials signaled government support for negotiations aimed at preventing industrial action.

Australian markets ended lower as government bond yields rose on expectations that borrowing costs may stay elevated for longer. The benchmark S&P/ASX 200 dropped 0.46 percent to 8,630.40 while the broader All Ordinaries index settled 0.32 percent lower at 8,880.70.

Banks ANZ, Westpac and NAB fell 2-3 percent in reaction to proposed housing tax changes in the federal government's budget.

Commonwealth Bank of Australia slumped 10.4 percent as the country's largest mortgage lender set aside another AU$200 million for macro risks.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index slipped 0.13 percent to close at 13,063.06, extending losses from the previous session on concerns that the fragile U.S.-Iran ceasefire may collapse.

Overnight, U.S. stocks ended mostly lower as hotter-than-expected inflation data coupled with surging oil prices amid renewed concerns about the U.S.-Iran war fueled concerns about the economic outlook.

Data showed the annual consumer price inflation rose to 3.8 percent in April from 3.3 percent in March, exceeding economists' forecast of 3.7 percent and marking the highest reading since May 2023.

The tech-heavy Nasdaq Composite shed 0.7 percent and the S&P 500 dipped 0.2 percent while the narrower Dow inched up 0.1 percent.