This is CNBC’s live blog covering Asia-Pacific markets.
Asia-Pacific markets traded higher Thursday, breaking ranks with Wall Street that fell overnight as a stronger-than-expected U.S. inflation reading diminished prospects of policy easing by the U.S. Federal Reserve.
Australia’s S&P/ASX 200 hit a record intraday high of 8,575.2, surpassing its previous peak of 8,566.9 scaled on Jan. 31. The index, however, pared gains to trade flat, closing at 8540.
Japan’s Nikkei 225 rose 1.28% to close at 39,461.47 while the Topix climbed 1.18% to close at 2,765.59. South Korea’s Kospi traded 1.36% higher to end off at 2,583.17 for the day, while the small-cap Kosdaq rose 0.55% to close at 749.28.
Hong Kong’s Hang Seng Index climbed 0.42% as of the last hour of trade, while mainland China’s CSI 300 slipped 0.38% to close at 3,905.14.
India’s benchmark Nifty 50 rose 0.58%, while the BSE Sensex index was 0.58% higher as of 1:11 p.m. local time.
Overnight in the U.S., the S&P 500 tumbled and bond yields spiked after consumer prices rose more than expected in January.
The broad market index slipped 0.27% to end at 6,051.97, and the Dow Jones Industrial Average tumbled 225.09 points, or 0.5%, to 44,368.56. The Nasdaq Composite eked out a 0.03% gain to close at 19,649.95.
The latest inflation data suggests that the Fed may be less likely to resume its rate-cutting campaign soon, as well as raises concerns that the next move could even be a hike.
During his testimony before the House Committee on Financial Services on Wednesday, Federal Reserve Chair Jerome Powell noted that the latest CPI data serves as a reminder of the Fed’s progress in moving inflation closer to its 2% target, but acknowledged that it is “not quite there yet.”
Indian Prime Minister Narendra Modi is traveling to the U.S. for talks with President Donald Trump and his administration and is expected to mitigate the threat of reciprocal tariffs as well as artificial intelligence policies.
— CNBC’s Pia Singh and Brian Evans contributed to this report.
Honda, Nissan shares climb after boards vote to terminate merger discussions
Japanese automakers Honda and Nissan are set to terminate merger talks, according to the Tokyo-based media outlet TBS.
Honda is slated to hold a press conference at 4:50 p.m. local time, according to the report.
Shares prices for both companies rose today, with Honda up 2.35%, while Nissan stocks climbed 1.25%.
—Lee Ying Shan
South Korea reportedly fines JPMorgan, Morgan Stanley, Nomura and UBS for short selling breaches
South Korea’s market regulator has fined JPMorgan, Nomura, UBS, and Morgan Stanley for breaching short-selling regulations in the local stock market, Reuters reported Thursday citing sources.
“We have concluded administrative sanctions, meaning imposing fines,” according to an official cited by Reuters.
—Lee Ying Shan, Reuters
Australian stocks hit record high for the second time in two weeks
Australia’s benchmark S&P/ASX 200 scaled a record peak Thursday, reaching an intraday high of 8,575.2.
This surpassed the previous intraday high of 8,566.9 hit on Jan. 31.
This comes amid a broader rally in Asian stocks, in contrast to moves on Wall Street after U.S. inflation figures came in hotter than expected.
— Lim Hui Jie
Alibaba shares surge to 31-month high as report suggests AI partnership with Apple
Hong Kong-listed shares of Chinese tech giant Alibaba climbed to their highest level since 2022 on Thursday, hitting an intraday high of 118.9 Hong Kong dollars.
This comes as reportedly Apple is partnering with Alibaba to roll out artificial intelligence features for iPhone users in China on Feb. 11.
AI features the companies co-developed have been submitted to China’s cyberspace regulator for approval, The Information reported.
Shares of the tech giant have been rallying since the news broke, rising 8.48% on Wednesday.
— Lim Hui Jie, Reuters
Softbank shares decline after posting earnings loss
Shares of SoftBank Group fell 3.6% after the company posted a surprise quarterly loss Wednesday as investments under its Vision Funds fell into red.
The Japanese company’s revenue also missed analysts’ estimates.
The company’s Vision Fund investments clocked a loss of 352.75 billion yen for the quarter ended Dec. 31. They had posted a gain for the preceding two quarters.
— Lee Ying Shan, Dylan Butts
Powell indicates Trump call for lower rates won’t influence policy
U.S. Federal Reserve Chair Jerome Powell testifies before a House Financial Services Committee hearing on “The Semiannual Monetary Policy Report to the Congress,” on Capitol Hill in Washington, D.C., on Feb. 12, 2025.
Federal Reserve Chair Jerome Powell said Wednesday that interest rate decisions won’t be based on political pressure, even if that’s coming from President Trump.
Asked about comments Wednesday morning from the president in which he called for lower rates, Powell said, “It’s a practice to never comment on anything the president says, but I think people can be confident that we’ll continue to keep our heads down, do our work, make our decisions based on what’s happening in the economy.”
The response came during questioning in front of the House Financial Services Committee, where Powell was appearing as part of his semiannual testimony on monetary policy. Asked whether statements from elected officials “are not among the things that cause you to act one way or the other,” the chair responded, “That’s correct.”
— Jeff Cox
