Tech Firms Buck Trend in Mixed Asian Markets Ahead of US Inflation Data

Asian markets experienced a mixed day on Monday, but tech firms showed resilience and rallied despite the uncertainty. The gains were led by chipmakers in Seoul and Tokyo, with Samsung and SK hynix soaring four and six percent respectively.

The rally came as traders looked ahead to a crucial week of events, culminating in US inflation data that will determine the Federal Reserve's decision on interest rates. A forecast-busting reading on US jobs last Friday ramped up bets that the central bank will tighten monetary policy on September 16.

However, the market's attention remains focused on the upcoming release of US consumer price index for August, which is seen as critical in deciding whether the Fed hikes rates next week or stands pat. The CME Group's FedWatch tool puts the chances of an increase at more than 56 percent after Friday's jobs data.

Investors are also looking forward to the release of earnings from tech titan Oracle on Thursday, which will be pored over for insights into the outlook for the AI boom. Meanwhile, OpenAI's announcement last week that it would begin rolling out its newest and most powerful artificial intelligence model has boosted confidence in the sector.