Asian markets opened higher on Thursday, with key indices across the region posting gains as investor sentiment improved amid stable global cues and rising commodity prices. Currency movements also played a role, as the Japanese yen weakened and the Australian dollar strengthened slightly.

📊 Hang Seng and Shanghai Lead Regional Gains

The Hang Seng Index in Hong Kong led regional gains, climbing 1.23% to reach 24,474.67 in morning trade. Investors showed renewed interest in Chinese tech and real estate stocks, spurred by optimism surrounding potential regulatory easing and better-than-expected earnings reports from major firms.

Meanwhile, China’s SSE Composite Index rose 1.04%, settling at 3,455.97. The gains were fueled by improved industrial output data and hopes of further stimulus from Beijing to support economic recovery. As manufacturing rebounds and consumer sentiment recovers, mainland equities continue to attract foreign capital.

📈 Indian Sensex Breaks Higher on Reform Momentum

India’s S&P BSE SENSEX advanced 0.85% to 82,755.51, driven by strong performances in financials, infrastructure, and technology stocks. Positive sentiment was further supported by the government’s reform momentum and increasing foreign institutional investment (FII) inflows.

Analysts note that India continues to benefit from a stable macroeconomic outlook, with inflation easing and GDP growth projections staying robust. As a result, the SENSEX has remained one of the region’s top-performing indices over the past month.

🇯🇵 Nikkei Rises as Weaker Yen Supports Exporters

Japan’s Nikkei 225 climbed 0.39% to 38,942.07, supported by gains in export-oriented sectors such as electronics and automotive. A weaker yen, which fell 0.20% according to the Japanese Yen Index (68.86), helped make Japanese exports more competitive on the global market.

Despite global uncertainty, Japan’s equity markets continue to benefit from corporate profitability, shareholder returns, and the Bank of Japan’s ongoing accommodative monetary policy.

🇰🇷 KOSPI and 🇦🇺 ASX Show Modest Gains

South Korea’s KOSPI Composite Index added 0.15%, reaching 3,108.25. Gains were driven by steady performances from large-cap semiconductor firms and banking stocks. The index continues to consolidate near its recent highs, reflecting cautious optimism among investors.

Australia’s S&P/ASX 200 Index inched up 0.04% to 8,559.20, reflecting slight gains in mining and banking sectors. Market participants are closely watching commodity prices and central bank signals for future direction. The Australian Dollar Index strengthened 0.29% to 65.09, reflecting a slight rebound in risk appetite and strong demand for natural resources.

💱 Currency Watch: Yen Falls, Aussie Gains Ground

Currency movements in Asia also influenced market sentiment. The Japanese yen continued to slide, weakening 0.20% in morning trade. A dovish Bank of Japan and widening interest rate differentials with the U.S. have kept the yen under pressure.

In contrast, the Australian dollar showed strength, rising 0.29%, supported by a favorable trade balance and resilient commodity exports. Currency trends remain a key watchpoint for investors across Asia, particularly for sectors sensitive to exchange rate fluctuations.

🔍 Outlook: Market Sentiment Remains Cautiously Optimistic

Overall, Asian markets started the day on a positive note, reflecting broad-based optimism and a stable macroeconomic backdrop. While global risks such as inflation, geopolitical tensions, and U.S. rate policies remain on the radar, the current momentum suggests continued investor confidence.

As earnings season progresses and macro data from China and India remain strong, regional indices may continue their upward trend in the near term.