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Asia markets mixed; chip stocks surge after Micron's strong forecast

Lee Ying Shan

This is CNBC's live blog covering Asia-Pacific markets.

Hong Kong skyline featuring a Chinese boat.
DuKai photographer | Moment | Getty Images

Asia-Pacific shares closed mixed on Thursday in lackluster trade, as investors continue to parse comments from Federal Reserve Chair Jerome Powell who indicated there could be multiple rate hikes ahead.

The Nikkei 225 was up 0.12% to close at 33,234.14 while the Topix traded lower 0.1% to end at 2,296.25. On the economic front, official data showed Japanese retail sales rose 5.7% year-on-year in May.

South Korea's Kospi dipped 0.55% to 2,550.02 while the Kosdaq slipped 0.6% lower to 861.79. Japan and South Korea are slated to discuss a currency swap deal in what would be their first bilateral finance meeting in seven years, according to Reuters.

Hong Kong's Hang Seng index fell 1.56%. Mainland Chinese markets also ended lower, with the Shanghai Composite down 0.22% to close at 3,182.38 and the Shenzhen Component closed at 10,915.50, lower by 0.099%.

Australia's S&P/ASX 200 traded near flat.

Markets in Singapore, Indonesia, Malaysia and India are closed for the Eid al-Adha holiday.


Overnight in the U.S., major benchmarks were trading near the flatline.

Powell on Wednesday said more restrictive policy is to come as the Fed continues its fight against inflation, warning of the likelihood of interest rate hikes at subsequent meetings. He is slated to speak at a conference in Madrid on Thursday.


Asian chip stocks rally after Micron's earnings beat estimates

Shares of Asian chipmakers rose after Micron Technology's third quarter earnings beat estimates on the back of higher demand for its memory chips driven by the booming AI sector.

Japanese semiconductor company Electron was up 3.26%. Hong Kong-listed Hua Hong Semiconductor added 1.82%, and South Korea's SK Hynix traded 1.67% higher.

South Korean chipmaker Samsung Electronics is at its highest since March last year, trading higher by 0.14% today. SK Hynix is up 1.66%

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Micron's shares last rose 3% in extended trading hours.

Micron's third-quarter revenue came in at $3.752 billion, beating Reuters' estimates of $3.646 billion, data from Refinitiv showed.

Overseas investors sell off Japan equities after 12 straight weeks of purchases

Foreign investors became net sellers of Japanese shares after propelling the Nikkei 225 to three-decade highs following 12 consecutive weeks of purchases, Reuters reported citing official data.

Net shares worth $3.77 billion were sold by foreigners in the week through June 24, according to the report which cited data from the Finance Ministry.

Since the end of March, overseas investors were net purchasers of Japanese equities every week, Reuters said.

— Lee Ying Shan

Asian stocks are 'much more promising' than U.S. counterparts

Asian stocks could outperform the broader global market on the back of solid fundamentals in Japan, end of the rate hiking cycle in Asia and rising traction of A.I., analysts said.

"Japan should be a quite interesting market for investors, even if prices have already had a good run short-term," says Daniela Gombert from asset management company DWS.

Japan's markets have led gains in Asia, with the Nikkei 225 up almost 25% year-to date and the broad-based Topix up by about 21.5%.

Other reasons for optimism in Asia include technological developments, such as the advent of generative A.I., as well as a possible end to rate hikes, with Morgan Stanley predicting that inflation has peaked in most Asian economies.

Read more here.

— Lim Hui Jie, Lee Ying Shan

Japan's May retail sales rose 5.7% compared to year ago

Japan's retail sales data for May rose 5.7% year-on-year, government data showed, slightly beating Reuters' estimates of a 5.4% increase.

Retail sales have risen in the last 15 months — the last time it fell was in February 2022, according to data from Refinitiv.

According to the report, leading the gains are Japan's food and beverage sector, which rose 15.2% year-on-year, while pharmaceuticals and cosmetics increased by 12.6% compared to the same period last year.

— Lee Ying Shan

CNBC Pro: These stocks raised dividends for the last 5 years, with 2 offering more than 10% yield

While the inflation rate has begun to cool slightly, it could still prove to be stickier than expected.

CNBC Pro screened for stocks to beat those still-rising prices, with at least a 5% dividend yield, and further potential upside of more than 20%.

These five stocks showed up, two with more than 10% dividend yield.

CNBC Pro subscribers can read more here.

— Weizhen Tan

CNBC Pro: These two globally competitive food delivery stocks will soar 120%, says RBC

Shares of two online food delivery companies are expected to soar by 120% over the next 12 months, according to RBC Capital.

The investment bank's analysts said the increasing cost of online food ordering was an indication of food delivery providers prioritizing profitability over growth, a change that makes sense considering the current trend of online ordering "normalizing".

CNBC Pro subscribers can read more here.

— Ganesh Rao

S&P 500 and Nasdaq Composite on pace for four straight months of gains

The S&P 500 and the Nasdaq Composite are about to end June with flying colors.

The broad-market index is up 4.7% this month, while the tech-heavy benchmark has a gain of more than 5%. That marks the fourth consecutive winning month for both averages. It's also the longest monthly streak of gains for both the S&P 500 and the Nasdaq Composite since 2021.

The tech sector boosted the S&P 500, rising 4.5% in June, but consumer discretionary also buoyed the index. That sector added 10.4%, courtesy of Carnival, Norwegian Cruise Line and Royal Caribbean. Each of the three travel stocks are on track for double-digit gains in June, according to FactSet.

The Nasdaq-100 is also on pace for a fourth straight winning month, up 4.9% in June. The index last accomplished this feat in 2020.

-Darla Mercado, Chris Hayes

23 biggest banks passed the Fed's stress test

All 23 of the U.S. banks included in the Federal Reserve's annual stress test weathered a severe recession scenario while continuing to lend to consumers and corporations, the regulator said Wednesday.

The banks were able to maintain minimum capital levels, despite $541 billion in projected losses for the group, the Fed said in a release. Banks including JPMorgan Chase and Wells Fargo are expected to disclose updated plans for buybacks and dividends Friday after the close of regular trading.

— Hugh Son