Asian stocks climbed sharply on Monday, buoyed by reports that US lawmakers have reached a deal to end the record 40-day government shutdown, easing investor jitters after last week’s global sell-off driven by fears of an AI-fuelled tech bubble.
In South Korea, the Kospi led regional gains, jumping 3% to 4,073.24, powered by strong advances in semiconductor shares. SK Hynix, which collaborates with Nvidia on artificial intelligence technologies, surged 5.5%, while rival Samsung Electronics rose 2.4%.
Japan’s Nikkei 225 climbed 1.3% to 50,911.76, supported by AI-linked stocks such as Tokyo Electron, which gained 4.7%.
Elsewhere, Hong Kong’s Hang Seng Index rose 1.6% to 26,655.87, the Shanghai Composite added 0.5% to 4,018.60, and Australia’s S&P/ASX 200 advanced 0.8% to 8,835.90. Taiwan’s Taiex and India’s Sensex gained 0.8% and 0.6%, respectively.
The rally followed a mixed close on Wall Street on Friday, where the S&P 500 edged up 0.1% to 6,728.80 and the Dow Jones Industrial Average added 0.2% to 46,987.10, while the Nasdaq Composite fell 0.2% to 23,004.54 after recovering from early losses of more than 2%.
Analysts said signs of progress in Washington helped restore confidence after a turbulent fortnight dominated by concerns over AI valuations and a lack of economic data during the US shutdown.
