Asian Stocks Jump Most Since April, Gold Rebounds: Markets Wrap
(Bloomberg) — Asian equities rebounded from their worst selloff in more than two months as a recovery in gold and silver helped steady markets after Monday’s volatility, while technology stocks rallied.
The MSCI Asia Pacific Index rose 2.8%, marking its strongest session since April, when markets climbed from their lows after President Donald Trump unveiled century-high tariffs. Stocks in South Korea — a poster child for artificial intelligence and the world’s best-performing index this year — surged 6.3% with Samsung Electronics Co. jumping 10% and SK Hynix Inc. 7.3%.
The gains are set to carry over into Europe and the US, with futures for the Nasdaq 100 Index rising 0.5% after AI bellwether Palantir Technologies Inc. posted a stronger-than-expected sales outlook. Also, Elon Musk is combining SpaceX and xAI in a deal that values the enlarged entity at $1.25 trillion.
Gold jumped as much as 4.2% and silver rose 8.1%, clawing back some losses after the abrupt unwinding of a record-breaking rally that had driven prices sharply down in the past two sessions.
Stocks are finding some stability after a steep drop in precious metals spread through risk assets, prompting widespread declines. Market conditions have remained unsettled since President Donald Trump on Friday nominated Kevin Warsh as the next Federal Reserve chair, a candidate viewed as more focused on curbing inflation than lowering rates.
“This rebound looks more like a calm-after-the-storm reset, with dip-buyers stepping in rather than conviction returning,” said Hebe Chen, a senior market analyst at Vantage Global Prime Pty. “The next volatility trigger lies in the upcoming US jobs report, which risks pulling central-bank uncertainty straight back into focus and unsettling markets again.”
Elsewhere, Australian bonds slid and the currency rose after the central bank raised its key interest rate to combat inflation. Indian stocks jumped 2.8% as Trump said he will slash tariffs on India to 18% after Prime Minister Narendra Modi agreed to stop buying Russian oil, easing tensions between the two countries. The rupee gained against the dollar.
Indian equities are primed to ease their run of underperformance after the long-awaited trade agreement with the US, which removes a key overhang on financial assets that had triggered record foreign outflows.
“This breakthrough is unmistakably positive for the real economy,” DBS Group Holdings Ltd. economists including Radhika Rao wrote in a note. “Domestic markets are expected to witness a relief rally at open, after high tariffs had been one of the key drags on sentiments in the past quarter.”
Beyond Indian stocks, the billions companies are pouring into AI continued to dominate investor focus. South Korea’s two most valuable companies are poised to eclipse a duo of Chinese internet giants by market cap for the first time, underscoring how an evolving global AI boom has reshaped the sector’s investment dynamics in Asia.
AI is a boom, and not a bubble, said Deutsche Bank’s Global Chief Investment Officer Christian Nolting. Still, investors need to “watch not only chips, but the whole value chain,” he said.
Amid the Asian tech rally, Chinese internet firms slumped in Hong Kong on Tuesday amid concerns over the possibility that they could be levied higher value-added tax.
What Bloomberg strategists say…
Gold’s three-day plunge was very much a correction waiting to happen, but the fundamental drivers for its multi-year advance are still in play to argue against a sustained tumble for precious metals.
— Garfield Reynolds, MLIV Team Leader. For full analysis, click here.
Attention, however, centered on silver and gold. The two commodities trimmed some losses during the US session on Monday after another heavy selloff in Asian hours.
Precious metals had rapidly surged to records last month, catching even seasoned traders by surprise. Investors piled into gold and silver on renewed concerns about geopolitical upheaval, currency debasement, and threats to the Fed’s independence. A wave of buying from Chinese speculators supercharged the rally.
That flipped on Friday as the dollar rebounded and the precious metals slid after the nomination of Warsh. The Bloomberg Dollar Spot Index weakened on Tuesday after gains in the previous two sessions.
Risk is “back on the menu” Tuesday, with precious metals stabilizing, Andrew Jackson, head of Japan equity strategy at Ortus Advisors, wrote in a note.
Corporate Highlights:
Elon Musk is combining SpaceX and xAI in a deal that values the enlarged entity at $1.25 trillion, as the world’s richest man looks to fuel his increasingly costly ambitions in artificial intelligence and space exploration. Walt Disney Co., the world’s biggest entertainment company, gave a tepid forecast for growth in the current period and the market awaits news on who will be its new leader. Boeing Co. still needs to do more to win back the ability to certify the airworthiness of its aircraft and other powers the aviation giant lost after a series of manufacturing lapses, according to the head of the US Federal Aviation Administration. Some of the main moves in markets:
Stocks
S&P 500 futures rose 0.3% as of 2:58 p.m. Tokyo time Japan’s Topix rose 3.2% Hong Kong’s Hang Seng rose 0.3% The Shanghai Composite rose 0.9% Euro Stoxx 50 futures rose 0.4% Currencies
The Bloomberg Dollar Spot Index fell 0.2% The euro rose 0.2% to $1.1810 The Japanese yen rose 0.1% to 155.42 per dollar The offshore yuan rose 0.1% to 6.9351 per dollar Cryptocurrencies
Bitcoin fell 0.3% to $78,201.01 Ether fell 1.1% to $2,315.69 Bonds
The yield on 10-year Treasuries was little changed at 4.28% Japan’s 10-year yield advanced two basis points to 2.250% Australia’s 10-year yield advanced four basis points to 4.83% Commodities
West Texas Intermediate crude fell 0.4% to $61.89 a barrel Spot gold rose 3.4% to $4,822.07 an ounce This story was produced with the assistance of Bloomberg Automation.
–With assistance from Gabrielle Ng, Alice French, Shikhar Balwani and Carmeli Argana.
©2026 Bloomberg L.P.
