Asian stocks surge as TSMC fuels tech gains; weekly losses still on tap
Investing.com-- Most Asian stocks rose on Friday as a positive, AI-fuelled outlook from TSMC spurred a rebound in the technology sector, although weakness in China and uncertainty over interest rates put most bourses on course for a weekly loss.
Regional markets also took some positive cues from Wall Street, which rebounded on Thursday after growing doubts over early interest rate cuts by the Federal Reserve spurred a series of steep losses. Wall Street indexes were also set for a negative week.
Japan’s Nikkei 225 index was the best regional performer for the day, rising 1.6% and once again coming in sight of a 34-year high. The index, along with the broader TOPIX, remained an outlier among its peers and was headed for a 1.3% gain this week.
Data on Friday showed Japanese consumer price index (CPI) inflation fell as expected in December, setting the stage for an ultra-dovish Bank of Japan when it meets next week.
Tech stocks were the best performers in Japan on Friday, with Ascentech KK (TYO:3565), BELLSYSTEM24 Holdings Inc (TYO:6183) and Advantest Corp. (TYO:6857) surging between 8% to 15%.
Broader Asian technology stocks also clocked strong gains on Friday tracking a positive forecast from Taiwan Semiconductor Manufacturing Corp (TW:2330) (NYSE:TSM), the world’s largest contract chipmaker.
TSMC rose over 5% in Taiwan trade to a near two-year high, after the firm said it was well-positioned to capitalize on a boom in artificial intelligence development over the coming year.
The chipmaker also clocked a smaller-than-expected decline in its fourth-quarter earnings, citing increased demand for its most advanced chips.
TSMC’s positive outlook spurred increased optimism that a boom in AI will help spur renewed investment
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