Tech-Led Surge Lifts Asian Markets as Oil Prices Drop

Asian stock markets saw significant gains on Wednesday as robust earnings and renewed appetite for tech propelled Wall Street to record highs. The surge in tech stocks helped lift Japan's Nikkei by 3.5%, while South Korea rose 4.3%. MSCI's broadest index of Asia-Pacific shares outside Japan climbed 2.3%, with Chinese blue chips gaining 1.5%.

The tech rally came despite a setback for Advanced Micro Devices (AMD), which fell 8.8% after hours as earnings beat expectations but still fell short of investors' high hopes. SpaceX, an AI and satellite group, shed 7.5%, undoing much of its earlier gain on concerns that capital expenditure was consuming all its cash flow.

The ongoing slide in oil prices also supported sentiment, with Brent crude dropping 0.6% to $78.85 a barrel and U.S. crude falling 0.9% to $75.09. This has led to some relief from inflation fears and boosted bonds globally, with 10-year Treasury yields now at 4.603%, down from last week's high of 4.747%. Markets also pared the probability of a September rate hike from the Federal Reserve to 57% from 67%.