Asian markets traded mostly higher in early deals on Tuesday, kindled by the rebound in technology sector and a recalibration of expectations surrounding artificial intelligence valuations following recent volatility. Market participants are pivotally focused on the forthcoming US Consumer Price Index (CPI) and Producer Price Index (PPI) releases, to gauge the Federal Reserve’s future interest rate trajectory. Japan’s Nikkei soared to record highs, underpinned by reduced political risk following Prime Minister Takaichi’s decisive mandate and a series of robust corporate earnings surprises. 

Nikkei 225 soared by 1,466.06 points or 2.60% to 57,830.00, Hang Seng up by 165.84 points 0.61% to 27,193.00, Jakarta Composite rose by 77.04 points 0.96% to 8,108.91, KOSPI Index climbed by 8.05 points or 0.15% to 5,306.09, and Taiwan weighted jumped by 504.95 points or 1.56% to 32,909.57.

On the flip side, Straits Times curtailed by 10.05 points or 0.20% to 4,950.78, Shanghai Composite decreased by 0.75 points or 0.02% to 4,122.34, and FTSE Bursa Malaysia KLCI index was down by 2.63 points or 0.15% to 1,748.67.