Asia-Pacific Markets Show Mixed Performance Amid Wall Street Decline; Gold Hits Record High

Asia-Pacific markets exhibited a mixed performance on Wednesday, following declines on Wall Street as a sell-off in technology stocks intensified.

Investors closely monitored Japan’s financial landscape, particularly after the Bank of Japan (BOJ) decided to maintain its interest rate at 0.5%, aligning with market expectations. The decision came as the central bank assessed potential economic impacts from US President Donald Trump’s trade policies.

In Japan, the Nikkei 225 dipped 0.25% to close at 37,751.88, while the broader Topix index gained 0.45% to reach 2,795.96. South Korea’s Kospi index advanced 0.62% to 2,628.62, while the smaller Kosdaq index fell 0.96% to 738.35.

China’s CSI 300 index remained flat at 4,010.17, and Hong Kong’s Hang Seng Index was also little changed in the final hour of trading. Meanwhile, India’s Nifty 50 climbed 0.39%, with the BSE Sensex up 0.28% as of early afternoon local time.

Australia’s S&P/ASX 200 index recorded a 0.41% decline, closing at 7,828.30.

The mixed performance in Asian markets followed Wall Street’s downturn, where all three major US indices fell after two consecutive winning sessions. The Dow Jones Industrial Average declined 0.62%, closing at 41,581.31. The S&P 500 shed 1.07%, ending at 5,614.66, while the Nasdaq Composite dropped 1.71% to 17,504.12.

Technology stocks led the losses, with Tesla falling over 5% following a downward price target revision by RBC Capital Markets. Nvidia and Palantir shares also dropped by 3% and 4%, respectively.

The BOJ’s decision to keep interest rates unchanged reflects its cautious approach amid rising US trade tariffs. BOJ Governor Kazuo Ueda indicated that the bank could raise interest rates further if economic indicators align with forecasts. However, he also highlighted the need to monitor risks related to exchange rates, inflation, and wages.

The central bank’s stance on monetary policy may extend beyond 2025, according to MFS Investment Management, which noted the rise in Japan’s government bond yields as an indication of tightening financial conditions.

Gold prices surged to a fresh record high, with the precious metal trading at $3,039.12 per ounce as of 3:45 p.m. Singapore time. The increase comes as investors seek safe-haven assets ahead of the US Federal Reserve’s policy meeting, where expectations suggest interest rates will remain unchanged in March, with potential cuts projected for June.

• Indonesia’s Jakarta Composite Index rebounded 1.44% after four consecutive sessions of losses.
• The Indonesian rupiah weakened 0.64% against the US dollar, with Bank Indonesia expected to hold rates at 5.75%.
• Chinese tech stocks faced volatility, with Baidu shares dropping over 5% after strong gains earlier in the week. Meanwhile, Xpeng shares plunged over 10%, despite higher revenue expectations from its new SUV models.
• The Japanese yen depreciated 0.11% against the US dollar, benefiting export-oriented firms such as Taiyo Yuden and IHI Corp, which posted gains of 5.15% and 4.61%, respectively.

With input from CNBC and the Associated Press.