Asia-Pacific markets were poised for gains Wednesday after a tech-driven rally on Wall Street, fueled by easing concerns around artificial intelligence-led disruption to select industries.
Australia’s S&P/ASX 200 climbed 0.76% in early trade.
Japan’s Nikkei 225 futures pointed to a stronger open for the market, with the futures contract in Chicago at 58,140 and its counterpart in Osaka at 57,990 compared to the previous close of 57,321.09.
Hong Kong Hang Seng index futures were at 26,763, higher than the HSI’s last close of 26,590.32.
Investors will also be watching U.S. President Donald Trump’s customary State of the Union address later in the day.
Overnight in the U.S., equities rose, led by gains in Advanced Micro Devices and software stocks. Shares of AMD jumped 8.8% after Meta Platforms announced a multiyear deal with the semiconductor company.
The new partnership entails deploying up to 6 gigawatts of AMD’s graphics processing units for AI data centers. Meta will also invest in AMD through a performance-based warrant for up to 160 million shares of the chipmaker.
The move comes a week after Meta said it’s using millions of Nvidia chips in its data center buildout. Shares of the AI chip darling rose 0.7%.
The S&P 500 advanced 0.77% to close at 6,890.07, while the Nasdaq Composite rose 1.04% and settled at 22,863.68.
The Dow Jones Industrial Average added 370.44 points, or 0.76%, and ended at 49,174.50. The 30-stock index was supported by a nearly 2% rise in Home Depot shares after the company’s earnings beat expectations for the first time in a year. IBM shares, which tumbled in the prior trading day as a result of aforementioned AI fears, also added to the Dow’s gains.
—CNBC’s Sean Conlon and Sarah Min contributed to this report.
Source: CNBC