Asian markets closed broadly higher on June 2, 2026, as investor sentiment improved across key markets. Gains in Hong Kong and India helped offset modest declines in Japan and Australia, with the KOSPI showing steady but limited advance.

The session reflected cautious optimism, with holiday closures in Malaysia reducing overall liquidity.

Hong Kong and India Lead Regional Gains

Hong Kong’s Hang Seng Index surged 2.52% to 26,038.32, marking the strongest advance among major Asian benchmarks. The rally was driven by selective buying in Chinese-linked technology and financial shares, reflecting renewed investor confidence.

India’s S&P BSE Sensex rose 0.48% to 74,623.42, benefiting from support in domestic financials and consumer sectors. The modest gain indicates stabilizing sentiment despite broader regional volatility.

Japan, South Korea, and China Show Mixed Movements

South Korea’s KOSPI Composite Index edged up 0.15% to 8,801.49, reflecting cautious participation following recent strong rallies. Japan’s Nikkei 225 declined 0.30% to 66,734.24, with profit-taking tempering earlier strength. China’s SSE Composite Index gained 0.43% to 4,075.10, indicating mild recovery sentiment in mainland equities.

Australia’s S&P/ASX 200 traded nearly flat, slipping 0.06% to 8,724.40, signaling limited momentum in commodity-linked sectors.

Currency Markets Remain Stable

Currency trading showed minor adjustments during the session. The Australian Dollar Index declined 0.33% to 71.61, while the Japanese Yen Index edged down 0.21% to 62.65. The muted movements suggest investors focused primarily on equity positioning rather than defensive currency flows.

Malaysia Market Closed for Harvest Festival

Regional participation was slightly reduced as Malaysia’s Kuala Lumpur Stock Exchange remained closed for the Harvest Festival. The closure had minimal impact on overall regional trading activity but contributed to lighter liquidity across the session.

Outlook

Looking ahead, investors will monitor whether gains in Hong Kong and India can sustain momentum and whether Japan and South Korea regain upward trajectory. The gradual return of Malaysia’s market after the holiday may increase participation and volatility.

Asia’s market outlook remains cautiously optimistic, supported by selective gains in key benchmarks, stable currencies, and renewed investor interest, even as uneven performance persists across certain markets.