Asia markets mixed, Nikkei soars to new peak on OpenAI AMD momentum

October 07, 2025 (MLN): Asian markets traded mixed on Tuesday, with Japan’s Nikkei 225 soaring to a record high for the second consecutive session, driven by strong gains in technology stocks following a major partnership between OpenAI and AMD a move seen as a direct challenge to chipmaking giant Nvidia.

Chip stocks led the charge on the Nikkei, with Advantest climbing over 4%, Tokyo Electron gaining 2%, Lasertec up 1.35%, and Renesas Electronics surging 4.85%.

The benchmark index had already reached a record on Monday, buoyed by political developments after the ruling Liberal Democratic Party elected staunch conservative Sanae Takaichi as its new leader, setting the stage for her to become Japan’s first female prime minister.

Meanwhile, the Topix index edged up 0.31%, while Japanese Government Bond (JGB) yields continued to rise to multi-decade highs.

The 10 year JGB yield gained 2 basis points to 1.694%, the highest level since July 2008. The 20 year yield advanced nearly 4 basis points to 2.734%, marking the highest since 1999, and the 30 year yield rose over 4 basis points to 3.333%, an all-time record.

The Japanese yen weakened for the fourth straight session, slipping 0.11% to 150.49 per U.S. dollar, after plunging nearly 2% in the previous session.

Elsewhere in the region, Australia’s S&P/ASX 200 fell 0.27%, extending its losses from Monday’s session.

In the United States, equity futures were slightly lower in early Asian trading hours following another day of record breaking performance on Wall Street.

The S&P 500 gained 0.36% to close at its 32nd record high of the year, while the Nasdaq Composite advanced 0.71% to finish at 22,941.67, notching its 31st all-time high of 2025.

Shares of AMD soared nearly 24% after reporting a landmark deal with OpenAI, under which the AI powerhouse could acquire a 10% stake in the chipmaker. The rally in AMD shares boosted both major indexes.

However, the Dow Jones Industrial Average slipped 63.31 points, or 0.14%, to 46,694.97, dragged down by declines in Sherwin-Williams and Home Depot.

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