Pedestrians walk past Japanese national flags decorating a street in the popular tourist area of Ginza as people do last minute shopping before the New Year’s holidays, in central Tokyo on December 30, 2024.
Richard A. Brooks | AFP | Getty Images
Asia-Pacific markets rose Wednesday, following a softer-than-expected inflation data from the U.S. that sent two key Wall Street benchmarks higher overnight.
The producer price index, which measures wholesale inflation, climbed just 0.2% in December, according to the Bureau of Labor Statistics. Economists polled by Dow Jones had estimated a 0.4% rise. Core PPI, which excludes food and energy, came in flat.
Investors in Asia also assessed the Reuters Tankan survey from Japan for January, which mirrors the Bank of Japan’s quarterly Tankan survey.
Business sentiment among large manufacturers rebounded, with the Tankan reading coming in at plus 2, after dipping into negative territory for the first time in 10 months in December with a reading of minus 1 in December.
Optimism among non-manufacturers edged up to plus 31, from plus 30 in December.
The benchmark Nikkei 225 was up, with 0.75% while the broad-based Topix gained 0.86%.
Meanwhile, South Korea’s Kospi was up 0.95% while the small-cap Kosdaq Index added 0.53%. South Korean investigators are attempting to arrest impeached President Yoon Suk Yeol for a second time.
Futures for Hong Kong’s Hang Seng index stood at 19,217 pointing to a weaker open compared to the HSI’s close of 19,219.78.
Australia’s S&P/ASX 200 has gained 0.29%.
Overnight in the U.S., the Dow Jones Industrial Average climbed 0.52% while the S&P 500 advanced 0.11% after the PPI report to 5,842.91. In contrast, the tech-heavy Nasdaq Composite slipped 0.23%.
— CNBC’s Hakyung Kim and Brian Evans contributed to this report.