Asian Markets Rally as Fed Hints at Rate Cuts; AI Stocks Face Scrutiny

Asian shares track Wall Street's rally after Powell hints at rate cuts

BANGKOK (AP) -- Asian shares advanced on Monday, tracking Wall Street's rally after the head of the Federal Reserve hinted that cuts to interest rates may be on the way. Fed chair Jerome Powell said Friday in a speech to an annual conference in Jackson Hole, Wyoming, that he's seen risks for the job market. A surprisingly weak report on job growth this month has led many traders to expect a rate cut as soon as the Fed's next meeting in September, after months of pressure from President Donald Trump for lower rates. Lower interest rates make borrowing easier, helping to spur more investment and spending. Hong Kong's Hang Seng index jumped 2.1% to 25,866.49, while the Shanghai Composite index surged 0.9% to 3,858.59. It's trading at its highest level in a decade, despite worries over higher tariffs on exports to the United States under Trump and weak domestic demand at home. Taiwan's Taiex was up 2.5% as semiconductor maker TSMC Corp.'s shares advanced 3.1%. Tokyo's Nikkei 225 gained 0.3% to 42,767.41, with computer chip-related companies leading gains. The Kospi in South Korea climbed 1.1% to 3,204.48. Australia's S&P/ASX 200 edged 0.2% higher, while the SET in Bangkok gained 1%. "Asia is set to rally in catch-up mode, feeding off Wall Street's Friday rebound after Powell cracked the door open to rate cuts," Stephen Innes of SPI Asset Management said in a commentary. This week, Nvidia's earnings report, due Wednesday after markets on Wall Street close, is a key focus of attention. Nvidia's role as a key supplier of chips for artificial intelligence and its heavy weighting give it outsized influence as a bellwether for the broader market. On Friday, the S&P 500 leaped 1.5% for its first gain in six days, closing at 6,466.91. That's just shy of its all-time high set last week. The Dow Jones Industrial Average soared 846 points, or 1.9%, to its own record of 45,631.74. Nasdaq composite jumped 1.9% to 21,496.53. Investors love lower interest rates, even if they risk adding to inflation. Stocks of smaller companies led the way. They can benefit more from lower interest rates because of their need to borrow money to grow. The smaller stocks in the Russell 2000 index surged 3.9% for its best day since April. Still, Powell did not commit to any kind of timing. He said the job market looks OK, even if "it is a curious kind of balance" where fewer new workers are chasing after fewer new jobs. Inflation, meanwhile, still has the potential to push higher. The yield on the 10-year Treasury fell to 4.25% from 4.33% late Thursday. The two-year Treasury yield, which more closely tracks expectations for Fed action, sank to 3.69% from 3.79% in a notable move for the bond market. Intel climbed 5.5% after Trump said the chip company has agreed to give the U.S. government a 10% stake in its business. Nvidia rose 1.7% to trim its loss for the week. The company, whose chips are powering much of the world's move in to artificial-intelligence technology, had seen its stock struggle recently amid criticism that it and other AI superstars shot too high, too fast and became too expensive. In other dealings early Monday, U.S. benchmark crude oil gained 8 cents to $63.74 per barrel. Brent crude, the international standard, added 4 cents to $67.26 per barrel. The U.S. dollar rose to 147.22 Japanese yen from 146.88 yen. The euro fell to $1.1707 from $1.1727.

Asian shares post modest gains after Wall Street nears more records

BANGKOK (AP) -- Shares logged modest gains Wednesday in Asia after Wall Street benchmarks ended just below their records following a day of choppy trading. U.S. futures edged higher as investors awaited an earnings update from computer chip giant Nvidia due after trading ends Wednesday in New York. The artificial intelligence bellwether's quarterly report is expected to help clarify whether markets have been soaring on an overhyped bubble or AI is a technology boom in the making. Japan's Nikkei 225 rose 0.3% to 42,522.97, while the Kospi in Seoul was up just over 1 point to 3,181.31. Hong Kong's Hang Seng also edged less than 0.1% higher, to 25,541.43 and the Shanghai Composite index advanced 0.3% to 3,881.07. In Australia the S&P/ASX 200 was up 0.1% at 8,948.30. Taiwan's Taiex climbed 0.7% and the SET in Bangkok was up 0.4%. Markets in India were closed for a public holiday, as 50% tariffs on exports to the United States took effect. The move by U.S. President Donald Trump was expected to hit labor-intensive sectors like textile manufacturing especially hard. On Wednesday, the S&P 500 closed 0.4% higher at 6,465.94. The Dow gained 0.3% to 45,418.07 and the Nasdaq added 0.4% to 21,544.27. Boeing rose 3.5% for one of the biggest gains among S&P 500 companies after Korean Air announced a $50 billion deal with the company that includes buying more than 100 aircraft. Dish Network parent EchoStar surged 70.2% after AT&T said it will buy some of its wireless spectrum licenses in a $23 billion deal. A report said consumer confidence declined modestly in August as anxiety over a weakening job market grew for the eighth straight month. The small decline from The Conference Board's monthly survey was mostly in line with economists' projections. Wall Street notched big gains last week on hopes for interest rate cuts from the Federal Reserve. But markets were subdued after President Donald Trump escalated his fight with the Federal Reserve by saying he's firing Federal Reserve Governor Lisa Cook. Cook's lawyer said she'll sue Trump's administration to try to stop him. Trump has been feuding with the central bank over its cautious interest rate policy. The Fed has held rates steady since late 2024 over worries that Trump's unpredictable tariff policies will reignite inflation. Trump has also threatened to fire Fed Chair Jerome Powell, often taunting him with name-calling. Still, he is only one of 12 votes that decides interest rate policy. Traders are still betting the Fed will trim its benchmark interest rate at its next meeting in September. Traders see an 87% chance that the central bank will cut the rate by a quarter of a percentage point, according to data from CME Group. The Federal Reserve cut its benchmark interest rate in late 2024 after spending the last several years fighting rising inflation by raising interest rates. It managed to mostly tame inflation and avoided having those higher rates stall economic growth, thanks largely to strong consumer spending and a resilient job market. The Fed hit the pause button heading into 2025 over concerns that higher tariffs imposed by Trump could reignite inflation. Lower interest rates make borrowing easier, helping to spur more investment and spending, but that could also potentially fuel inflation. However, concerns are deepening over the jobs market. Friday will bring another update on inflation, the U.S. personal consumption expenditures index. Economists expect it show that inflation remained at about 2.6% in July, compared with a year ago. Businesses have been warning investors and consumers about higher costs and prices because of tariffs. In other dealings early Wednesday, U.S. benchmark crude oil edged up 1 cent to $63.26 a barrel. Brent crude, the international standard, slipped 1 cent to $66.69 a barrel. The U.S. dollar rose to 147.91 Japanese yen from 147.43 yen. The euro fell to $1.1618 from $1.1643. ___ AP Business Writers Stan Choe, Damian Troise and Matt Ott contributed.

Asian shares track Wall Street's rally after Powell hints at rate cuts

Asian shares have tracked Wall Street's rally after the head of the Federal Reserve hinted that cuts to interest rates may be on the way BANGKOK -- Asian shares advanced on Monday, tracking Wall Street's rally after the head of the Federal Reserve hinted that cuts to interest rates may be on the way. Fed chair Jerome Powell said Friday in a speech to an annual conference in Jackson Hole, Wyoming, that he's seen risks for the job market. A surprisingly weak report on job growth this month has led many traders to expect a rate cut as soon as the Fed's next meeting in September, after months of pressure from President Donald Trump for lower rates. Lower interest rates make borrowing easier, helping to spur more investment and spending. Hong Kong's Hang Seng index jumped 2.1% to 25,866.49, while the Shanghai Composite index surged 0.9% to 3,858.59. It's trading at its highest level in a decade, despite worries over higher tariffs on exports to the United States under Trump and weak domestic demand at home. Taiwan's Taiex was up 2.5% as semiconductor maker TSMC Corp.'s shares advanced 3.1%. Tokyo's Nikkei 225 gained 0.3% to 42,767.41, with computer chip-related companies leading gains. The Kospi in South Korea climbed 1.1% to 3,204.48. Australia's S&P/ASX 200 edged 0.2% higher, while the SET in Bangkok gained 1%. "Asia is set to rally in catch-up mode, feeding off Wall Street's Friday rebound after Powell cracked the door open to rate cuts," Stephen Innes of SPI Asset Management said in a commentary. This week, Nvidia's earnings report, due Wednesday after markets on Wall Street close, is a key focus of attention. Nvidia's role as a key supplier of chips for artificial intelligence and its heavy weighting give it outsized influence as a bellwether for the broader market. On Friday, the S&P 500 leaped 1.5% for its first gain in six days, closing at 6,466.91. That's just shy of its all-time high set last week. The Dow Jones Industrial Average soared 846 points, or 1.9%, to its own record of 45,631.74. Nasdaq composite jumped 1.9% to 21,496.53. Investors love lower interest rates, even if they risk adding to inflation. Stocks of smaller companies led the way. They can benefit more from lower interest rates because of their need to borrow money to grow. The smaller stocks in the Russell 2000 index surged 3.9% for its best day since April. Still, Powell did not commit to any kind of timing. He said the job market looks OK, even if "it is a curious kind of balance" where fewer new workers are chasing after fewer new jobs. Inflation, meanwhile, still has the potential to push higher. The yield on the 10-year Treasury fell to 4.25% from 4.33% late Thursday. The two-year Treasury yield, which more closely tracks expectations for Fed action, sank to 3.69% from 3.79% in a notable move for the bond market. Intel climbed 5.5% after Trump said the chip company has agreed to give the U.S. government a 10% stake in its business. Nvidia rose 1.7% to trim its loss for the week. The company, whose chips are powering much of the world's move in to artificial-intelligence technology, had seen its stock struggle recently amid criticism that it and other AI superstars shot too high, too fast and became too expensive. In other dealings early Monday, U.S. benchmark crude oil gained 8 cents to $63.74 per barrel. Brent crude, the international standard, added 4 cents to $67.26 per barrel. The U.S. dollar rose to 147.22 Japanese yen from 146.88 yen. The euro fell to $1.1707 from $1.1727.

Asian shares are mostly higher after a mixed finish on Wall Street

MANILA, Philippines -- Asian shares were mostly higher on Thursday after a mixed finish on Wall Street, where shares in Nvidia, Palantir and other superstar stocks pared their earlier steep losses. Traders are looking ahead for cues about U.S. monetary policy from a meeting of central bankers that begins later in the day in Jackson Hole, Wyoming. Federal Reserve chair Jerome Powell is due to speak to the conference on Friday. The Fed has kept its main interest rate steady this year, primarily because of the fear of the possibility that President Donald Trump's tariffs could push inflation higher. But a surprisingly weak report on job growth across the U.S. may be superseding that. Still, minutes from the Fed's July 29-30 meeting released Wednesday showed most Fed officials felt the threat of higher inflation was a greater concern than the potential for job losses, leading the central bank to keep its key rate unchanged. In Tokyo, the Nikkei 225 fell 0.6% to 42,636.74 after a survey showed Japan's factory activity remained in contraction for the second month in August. The S&P Global flash Japan Manufacturing Purchasing Managers' Index (PMI) increased to 49.9 in August from 48.9 in July, just below the 50 level that delineates between growth and decline. Regional manufacturers have been feeling pressure from Trump's higher tariffs on exports to the United States. In Chinese markets, Hong Kong's Hang Seng index edged 0.1% lower to 25,135.09, while the Shanghai composite index rose 0.4% to 3,779.52. South Korea's Kospi jumped 1% to 3,161.74, while Australia's S&P ASX 200 index added 1% to 9,005.00. Taiwan's TAIEX climbed 1.2%, while India's Sensex added 0.1%. "Asian markets walked into Thursday like a card room still heavy with last night's smoke -- muted, watchful, waiting for the next cue out of Jackson Hole," Stephen Innes of SPI Asset Management said in a commentary. On Wednesday, the S&P 500 dipped 0.2% to 6,395.78 after trimming a 1.1% loss earlier in the day. It is still near its all-time high set last week. The Dow Jones Industrial Average added less than 0.1% to 44,938.31. The Nasdaq composite fell 0.7% to 21,172.86. The day's action centered again around stocks caught up in the mania around artificial-intelligence technology. Nvidia, whose chips are powering much of the world's move into AI, sank as much as 3.9% during the morning and was on track to be the heaviest weight on Wall Street following its 3.5% fall on Tuesday. But it clawed back nearly all of Wednesday's drop and finished with a dip of just 0.1%. As it pared its loss, so did broad market indexes because Nvidia is Wall Street's most influential stock by being its most valuable. Palantir Technologies, another AI darling, fell 1.1% to add to its 9.4% loss from the day before, but it had been down as much as 9.8% Wednesday morning. One possible contributor to the swoon was a study from MIT's Nanda Initiative that warned that most corporations are not yet seeing any measurable return from their generative AI investments, according to Ulrike Hoffmann-Burchardi, global head of equities at UBS Global Wealth Management. But the larger factor may be the simple criticism that prices for such stock have simply shot too high, too fast amid the furor around AI and became too expensive. In other dealings early Thursday, US. benchmark crude gained 30 cents to $63.01 per barrel. Brent crude, the international standard added 26 cents to $67.10 per barrel. The U.S. dollar rose to 147.37 Japanese yen, from 147.29 yen. The euro slid to $1.1648 from $1.1659.

Asian shares are mostly higher after a mixed finish on Wall Street

MANILA, Philippines (AP) -- Asian shares were mostly higher on Thursday after a mixed finish on Wall Street, where shares in Nvidia, Palantir and other superstar stocks pared their earlier steep losses. Traders are looking ahead for cues about U.S. monetary policy from a meeting of central bankers that begins later in the day in Jackson Hole, Wyoming. Federal Reserve chair Jerome Powell is due to speak to the conference on Friday. The Fed has kept its main interest rate steady this year, primarily because of the fear of the possibility that President Donald Trump's tariffs could push inflation higher. But a surprisingly weak report on job growth across the U.S. may be superseding that. Still, minutes from the Fed's July 29-30 meeting released Wednesday showed most Fed officials felt the threat of higher inflation was a greater concern than the potential for job losses, leading the central bank to keep its key rate unchanged. In Tokyo, the Nikkei 225 fell 0.6% to 42,636.74 after a survey showed Japan's factory activity remained in contraction for the second month in August. The S&P Global flash Japan Manufacturing Purchasing Managers' Index (PMI) increased to 49.9 in August from 48.9 in July, just below the 50 level that delineates between growth and decline. Regional manufacturers have been feeling pressure from Trump's higher tariffs on exports to the United States. In Chinese markets, Hong Kong's Hang Seng index edged 0.1% lower to 25,135.09, while the Shanghai composite index rose 0.4% to 3,779.52. South Korea's Kospi jumped 1% to 3,161.74, while Australia's S&P ASX 200 index added 1% to 9,005.00. Taiwan's TAIEX climbed 1.2%, while India's Sensex added 0.1%. "Asian markets walked into Thursday like a card room still heavy with last night's smoke -- muted, watchful, waiting for the next cue out of Jackson Hole," Stephen Innes of SPI Asset Management said in a commentary. On Wednesday, the S&P 500 dipped 0.2% to 6,395.78 after trimming a 1.1% loss earlier in the day. It is still near its all-time high set last week. The Dow Jones Industrial Average added less than 0.1% to 44,938.31. The Nasdaq composite fell 0.7% to 21,172.86. The day's action centered again around stocks caught up in the mania around artificial-intelligence technology. Nvidia, whose chips are powering much of the world's move into AI, sank as much as 3.9% during the morning and was on track to be the heaviest weight on Wall Street following its 3.5% fall on Tuesday. But it clawed back nearly all of Wednesday's drop and finished with a dip of just 0.1%. As it pared its loss, so did broad market indexes because Nvidia is Wall Street's most influential stock by being its most valuable. Palantir Technologies, another AI darling, fell 1.1% to add to its 9.4% loss from the day before, but it had been down as much as 9.8% Wednesday morning. One possible contributor to the swoon was a study from MIT's Nanda Initiative that warned that most corporations are not yet seeing any measurable return from their generative AI investments, according to Ulrike Hoffmann-Burchardi, global head of equities at UBS Global Wealth Management. But the larger factor may be the simple criticism that prices for such stock have simply shot too high, too fast amid the furor around AI and became too expensive. In other dealings early Thursday, US. benchmark crude gained 30 cents to $63.01 per barrel. Brent crude, the international standard added 26 cents to $67.10 per barrel. The U.S. dollar rose to 147.37 Japanese yen, from 147.29 yen. The euro slid to $1.1648 from $1.1659. ___ AP Business Writer Stan Choe contributed.

Asian shares track Wall Street's rally after Powell hints at rate cuts

BANGKOK (AP) -- Asian shares advanced on Monday, tracking Wall Street's rally after the head of the Federal Reserve hinted that cuts to interest rates may be on the way. Fed chair Jerome Powell said Friday in a speech to an annual conference in Jackson Hole, Wyoming, that he's seen risks for the job market. A surprisingly weak report on job growth this month has led many traders to expect a rate cut as soon as the Fed's next meeting in September, after months of pressure from President Donald Trump for lower rates. Lower interest rates make borrowing easier, helping to spur more investment and spending. Hong Kong's Hang Seng index jumped 2.1% to 25,866.49, while the Shanghai Composite index surged 0.9% to 3,858.59. It's trading at its highest level in a decade, despite worries over higher tariffs on exports to the United States under Trump and weak domestic demand at home. Taiwan's Taiex was up 2.5% as semiconductor maker TSMC Corp.'s shares advanced 3.1%. Tokyo's Nikkei 225 gained 0.3% to 42,767.41, with computer chip-related companies leading gains. The Kospi in South Korea climbed 1.1% to 3,204.48. Australia's S&P/ASX 200 edged 0.2% higher, while the SET in Bangkok gained 1%. "Asia is set to rally in catch-up mode, feeding off Wall Street's Friday rebound after Powell cracked the door open to rate cuts," Stephen Innes of SPI Asset Management said in a commentary. This week, Nvidia's earnings report, due Wednesday after markets on Wall Street close, is a key focus of attention. Nvidia's role as a key supplier of chips for artificial intelligence and its heavy weighting give it outsized influence as a bellwether for the broader market. On Friday, the S&P 500 leaped 1.5% for its first gain in six days, closing at 6,466.91. That's just shy of its all-time high set last week. The Dow Jones Industrial Average soared 846 points, or 1.9%, to its own record of 45,631.74. Nasdaq composite jumped 1.9% to 21,496.53. Investors love lower interest rates, even if they risk adding to inflation. Stocks of smaller companies led the way. They can benefit more from lower interest rates because of their need to borrow money to grow. The smaller stocks in the Russell 2000 index surged 3.9% for its best day since April. Still, Powell did not commit to any kind of timing. He said the job market looks OK, even if "it is a curious kind of balance" where fewer new workers are chasing after fewer new jobs. Inflation, meanwhile, still has the potential to push higher. The yield on the 10-year Treasury fell to 4.25% from 4.33% late Thursday. The two-year Treasury yield, which more closely tracks expectations for Fed action, sank to 3.69% from 3.79% in a notable move for the bond market. Intel climbed 5.5% after Trump said the chip company has agreed to give the U.S. government a 10% stake in its business. Nvidia rose 1.7% to trim its loss for the week. The company, whose chips are powering much of the world's move in to artificial-intelligence technology, had seen its stock struggle recently amid criticism that it and other AI superstars shot too high, too fast and became too expensive. In other dealings early Monday, U.S. benchmark crude oil gained 8 cents to $63.74 per barrel. Brent crude, the international standard, added 4 cents to $67.26 per barrel. The U.S. dollar rose to 147.22 Japanese yen from 146.88 yen. The euro fell to $1.1707 from $1.1727.

Asian Shares Track Wall Street's Rally After Powell Hints at Rate Cuts

BANGKOK (AP) -- Asian shares advanced on Monday, tracking Wall Street's rally after the head of the Federal Reserve hinted that cuts to interest rates may be on the way. Fed chair Jerome Powell said Friday in a speech to an annual conference in Jackson Hole, Wyoming, that he's seen risks for the job market. A surprisingly weak report on job growth this month has led many traders to expect a rate cut as soon as the Fed's next meeting in September, after months of pressure from President Donald Trump for lower rates. Lower interest rates make borrowing easier, helping to spur more investment and spending. Hong Kong's Hang Seng index jumped 2.1% to 25,866.49, while the Shanghai Composite index surged 0.9% to 3,858.59. It's trading at its highest level in a decade, despite worries over higher tariffs on exports to the United States under Trump and weak domestic demand at home. Taiwan's Taiex was up 2.5% as semiconductor maker TSMC Corp.'s shares advanced 3.1%. Tokyo's Nikkei 225 gained 0.3% to 42,767.41, with computer chip-related companies leading gains. The Kospi in South Korea climbed 1.1% to 3,204.48. Australia's S&P/ASX 200 edged 0.2% higher, while the SET in Bangkok gained 1%. "Asia is set to rally in catch-up mode, feeding off Wall Street's Friday rebound after Powell cracked the door open to rate cuts," Stephen Innes of SPI Asset Management said in a commentary. This week, Nvidia's earnings report, due Wednesday after markets on Wall Street close, is a key focus of attention. Nvidia's role as a key supplier of chips for artificial intelligence and its heavy weighting give it outsized influence as a bellwether for the broader market. On Friday, the S&P 500 leaped 1.5% for its first gain in six days, closing at 6,466.91. That's just shy of its all-time high set last week. The Dow Jones Industrial Average soared 846 points, or 1.9%, to its own record of 45,631.74. Nasdaq composite jumped 1.9% to 21,496.53. Investors love lower interest rates, even if they risk adding to inflation. Stocks of smaller companies led the way. They can benefit more from lower interest rates because of their need to borrow money to grow. The smaller stocks in the Russell 2000 index surged 3.9% for its best day since April. Still, Powell did not commit to any kind of timing. He said the job market looks OK, even if "it is a curious kind of balance" where fewer new workers are chasing after fewer new jobs. Inflation, meanwhile, still has the potential to push higher. The yield on the 10-year Treasury fell to 4.25% from 4.33% late Thursday. The two-year Treasury yield, which more closely tracks expectations for Fed action, sank to 3.69% from 3.79% in a notable move for the bond market. Intel climbed 5.5% after Trump said the chip company has agreed to give the U.S. government a 10% stake in its business. Nvidia rose 1.7% to trim its loss for the week. The company, whose chips are powering much of the world's move in to artificial-intelligence technology, had seen its stock struggle recently amid criticism that it and other AI superstars shot too high, too fast and became too expensive. In other dealings early Monday, U.S. benchmark crude oil gained 8 cents to $63.74 per barrel. Brent crude, the international standard, added 4 cents to $67.26 per barrel. The U.S. dollar rose to 147.22 Japanese yen from 146.88 yen. The euro fell to $1.1707 from $1.1727.

Asian Shares Are Mostly Higher After a Mixed Finish on Wall Street

MANILA, Philippines (AP) -- Asian shares were mostly higher on Thursday after a mixed finish on Wall Street, where shares in Nvidia, Palantir and other superstar stocks pared their earlier steep losses. Traders are looking ahead for cues about U.S. monetary policy from a meeting of central bankers that begins later in the day in Jackson Hole, Wyoming. Federal Reserve chair Jerome Powell is due to speak to the conference on Friday. The Fed has kept its main interest rate steady this year, primarily because of the fear of the possibility that President Donald Trump's tariffs could push inflation higher. But a surprisingly weak report on job growth across the U.S. may be superseding that. In Tokyo, the Nikkei 225 fell 0.6% to 42,636.74 after a survey showed Japan's factory activity remained in contraction for the second month in August. The S&P Global flash Japan Manufacturing Purchasing Managers' Index (PMI) increased to 49.9 in August from 48.9 in July, just below the 50 level that delineates between growth and decline. Regional manufacturers have been feeling pressure from Trump's higher tariffs on exports to the United States. In Chinese markets, Hong Kong's Hang Seng index edged 0.1% lower to 25,135.09, while the Shanghai composite index rose 0.4% to 3,779.52. South Korea's Kospi jumped 1% to 3,161.74, while Australia's S&P ASX 200 index added 1% to 9,005.00. Taiwan's TAIEX climbed 1.2%, while India's Sensex added 0.1%. "Asian markets walked into Thursday like a card room still heavy with last night's smoke -- muted, watchful, waiting for the next cue out of Jackson Hole," Stephen Innes of SPI Asset Management said in a commentary. On Wednesday, the S&P 500 dipped 0.2% to 6,395.78 after trimming a 1.1% loss earlier in the day. It is still near its all-time high set last week. The Dow Jones Industrial Average added less than 0.1% to 44,938.31. The Nasdaq composite fell 0.7% to 21,172.86. The day's action centered again around stocks caught up in the mania around artificial-intelligence technology. Nvidia, whose chips are powering much of the world's move into AI, sank as much as 3.9% during the morning and was on track to be the heaviest weight on Wall Street following its 3.5% fall on Tuesday. But it clawed back nearly all of Wednesday's drop and finished with a dip of just 0.1%. As it pared its loss, so did broad market indexes because Nvidia is Wall Street's most influential stock by being its most valuable. Palantir Technologies, another AI darling, fell 1.1% to add to its 9.4% loss from the day before, but it had been down as much as 9.8% Wednesday morning. One possible contributor to the swoon was a study from MIT's Nanda Initiative that warned that most corporations are not yet seeing any measurable return from their generative AI investments, according to Ulrike Hoffmann-Burchardi, global head of equities at UBS Global Wealth Management. But the larger factor may be the simple criticism that prices for such stock have simply shot too high, too fast amid the furor around AI and became too expensive. In other dealings early Thursday, US. benchmark crude gained 30 cents to $63.01 per barrel. Brent crude, the international standard added 26 cents to $67.10 per barrel. The U.S. dollar rose to 147.37 Japanese yen, from 147.29 yen. The euro slid to $1.1648 from $1.1659. ___ AP Business Writer Stan Choe contributed.

Asian shares track Wall Street's rally after Powell hints at rate cuts

BANGKOK -- Asian shares advanced on Monday, tracking Wall Street's rally after the head of the Federal Reserve hinted that cuts to interest rates may be on the way. Fed chair Jerome Powell said Friday in a speech to an annual conference in Jackson Hole, Wyoming, that he's seen risks for the job market. That followed a surprisingly weak report on job growth this month that has led many traders to expect a rate cut as soon as the Fed's next meeting in September, after months of pressure from President Donald Trump for lower rates. Lower interest rates make borrowing easier, helping to spur more investment and spending. Hong Kong's Hang Seng index was 1.9% higher at 25,807.45, while the Shanghai Composite index surged 1.5% to 3,883.56. It's trading at its highest level in a decade, despite worries over higher tariffs on exports to the United States under Trump and weak domestic demand at home. Taiwan's Taiex gained 2.2% as semiconductor maker TSMC Corp.'s shares advanced 3.1%. Tokyo's Nikkei 225 gained 0.4% to 42,807.82, with computer chip-related companies leading gains. The SET in Bangkok gained 0.9%, while the Sensex in India rose 0.5%. "Asia is set to rally in catch-up mode, feeding off Wall Street's Friday rebound after Powell cracked the door open to rate cuts," Stephen Innes of SPI Asset Management said in a commentary. This week, Nvidia's earnings report, due Wednesday after markets on Wall Street close, is a key focus of attention. Nvidia's role as a key supplier of chips for artificial intelligence and its heavy weighting give it outsized influence as a bellwether for the broader market. On Friday, the S&P 500 leaped 1.5% for its first gain in six days, closing at 6,466.91. That's just shy of its all-time high set last week. The Dow Jones Industrial Average soared 846 points, or 1.9%, to its own record of 45,631.74. Nasdaq composite jumped 1.9% to 21,496.53. Investors love lower interest rates, even if they risk adding to inflation. Stocks of smaller companies led the way. They can benefit more from lower interest rates because of their need to borrow money to grow. The smaller stocks in the Russell 2000 index surged 3.9% for its best day since April. Still, Powell did not commit to any kind of timing. He said the job market looks OK, even if "it is a curious kind of balance" where fewer new workers are chasing after fewer new jobs. Inflation, meanwhile, still has the potential to push higher. The yield on the 10-year Treasury fell to 4.25% from 4.33% late Thursday. The two-year Treasury yield, which more closely tracks expectations for Fed action, sank to 3.69% from 3.79% in a notable move for the bond market. Intel climbed 5.5% after Trump said the chip company has agreed to give the U.S. government a 10% stake in its business. Nvidia rose 1.7% to trim its loss for the week. The company, whose chips are powering much of the world's move in to artificial-intelligence technology, had seen its stock struggle recently amid criticism that it and other AI superstars shot too high, too fast and became too expensive. In other dealings early Monday, U.S. benchmark crude oil gained 10 cents to $63.77 per barrel. Brent crude, the international standard, added 7 cents to $67.29 per barrel. The U.S. dollar rose to 147.33 Japanese yen from 146.88 yen. The euro fell to $1.1703 from $1.1727.

Asian shares are mostly higher after a mixed finish on Wall Street

has kept its main interest rate steady this year, primarily because of the fear of the possibility that President Donald Trump's tariffs could push inflation higher. But a surprisingly weak report on job growth across the may be superseding that. In , the 225 fell 0.6% to 42,636.74 after a survey showed Japan's factory activity remained in contraction for the second month in August. The S&P Global flash Japan Manufacturing Purchasing Managers' Index (PMI) increased to 49.9 in August from 48.9 in July, just below the 50 level that delineates between growth and decline. Regional manufacturers have been feeling pressure from Trump's higher tariffs on exports to . In Chinese markets, Hong Kong's Hang Seng index edged 0.1% lower to 25,135.09, while the composite index rose 0.4% to 3,779.52. South Korea's Kospi jumped 1% to 3,161.74, while Australia's S&P ASX 200 index added 1% to 9,005.00. Taiwan's TAIEX climbed 1.2%, while India's Sensex added 0.1%. "Asian markets walked into Thursday like a card room still heavy with last night's smoke -- muted, watchful, waiting for the next cue out of Jackson Hole," of SPI Asset Management said in a commentary. On Wednesday, the S&P 500 dipped 0.2% to 6,395.78 after trimming a 1.1% loss earlier in the day. It is still near its all-time high set last week. The Dow Jones Industrial Average added less than 0.1% to 44,938.31. The Nasdaq composite fell 0.7% to 21,172.86. The day's action centered again around stocks caught up in the mania around artificial-intelligence technology. , whose chips are powering much of the world's move into AI, sank as much as 3.9% during the morning and was on track to be the heaviest weight on following its 3.5% fall on Tuesday. But it clawed back nearly all of Wednesday's drop and finished with a dip of just 0.1%. As it pared its loss, so did broad market indexes because is Wall Street's most influential stock by being its most valuable. , another AI darling, fell 1.1% to add to its 9.4% loss from the day before, but it had been down as much as 9.8% Wednesday morning. One possible contributor to the swoon was a study from MIT's Nanda Initiative that warned that most corporations are not yet seeing any measurable return from their generative AI investments, according to , global head of equities at UBS Global Wealth Management. But the larger factor may be the simple criticism that prices for such stock have simply shot too high, too fast amid the furor around AI and became too expensive. Copyright 2025 The Associated Press. All rights reserved. This material may not be published, broadcast, rewritten or redistributed without permission. , source