Asia stocks rise; South Korea’s Kospi scales new peak

May 06, 2026 (MLN): Asian markets opened on a strong footing Wednesday, led by a sharp rally in South Korea, as easing oil prices and upbeat corporate earnings on Wall Street lifted investor confidence across the region.

South Korea’s benchmark Kospi index surged 5.56% to reach a fresh all-time high, extending its remarkable run this year.

The rally was driven by heavyweight technology stocks, with Samsung Electronics and SK Hynix climbing more than 8% and 9%, respectively, during early trading. Meanwhile, the Kosdaq index edged slightly lower, slipping 0.15%.

In China, the CSI 300 index gained 0.71% as trading resumed following the Labor Day holiday. Hong Kong markets showed a mixed performance, with the Hang Seng index remaining largely flat, while the Hang Seng Tech index posted a modest gain of 0.21%.

Australia’s S&P/ASX 200 also advanced 0.58%, reflecting broad-based optimism across Asia-Pacific markets. Japanese markets remained closed due to a public holiday.

Investor sentiment was supported by developments in global oil markets, where prices declined amid signs of potential easing in Middle East tensions.

West Texas Intermediate crude futures for June delivery fell 1.45% to $100.79 per barrel, while Brent crude futures for July dropped 1.40% to $108.33 per barrel.

Geopolitical developments also remained in focus. U.S. President Donald Trump indicated that diplomatic efforts related to the Strait of Hormuz were progressing, announcing a temporary pause in a U.S.-led maritime security initiative known as “Project Freedom.”

The operation had been launched earlier in the week to escort commercial vessels through the strategically vital waterway. U.S. Defense Secretary Pete Hegseth confirmed that multiple ships had already safely navigated the route under military protection, according to CNBC.

Overnight on Wall Street, major indices closed at record levels, further supporting the positive momentum in Asian markets.

The S&P 500 rose 0.81% to finish at an all-time high of 7,259.22, while the Nasdaq Composite gained 1.03% to close at a record 25,326.13. The Dow Jones Industrial Average advanced 356.35 points, or 0.73%, ending the session at 49,298.25.

Futures trading pointed to a mixed start ahead, with S&P 500 futures rising 0.2% and Nasdaq 100 futures gaining 0.6%, while Dow futures edged slightly lower.

Overall, a combination of cooling oil prices, resilient corporate earnings, and improving geopolitical signals helped sustain risk appetite, positioning Asian markets for continued strength in the near term.

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