Asian Markets Surge on U.S. AI Investment and Wall Street Rally

NEW YORK, U.S. – Asian markets are poised for a strong rally on Thursday, fueled by Wall Street’s record-breaking performance and optimism surrounding U.S. President Donald Trump‘s proposed $500 billion private sector investment in artificial intelligence (AI) infrastructure. The S&P 500 surged to a new high of 6,100 points on Wednesday, while the Nasdaq climbed above 20,000 points, nearing its December peak.

The announcement of a joint venture called Stargate, involving OpenAI, SoftBank, and Oracle, has reignited enthusiasm for tech and AI sectors. The project aims to build data centers and create over 100,000 jobs in the U.S., further boosting investor confidence. Billionaire investor Stanley Druckenmiller described the market optimism as reaching “giddy” levels, a sentiment echoed across trading floors.

Investors’ bullishness is also reflected in the record demand for debt sales in Spain and the U.K., with bids totaling around $400 billion for $37 billion worth of debt. This surge is partly seasonal, as fixed-income investors allocate funds at the start of the year.

In Asia, markets will closely watch key economic data releases, including South Korea‘s fourth-quarter GDP, Japan‘s December trade figures, Singapore‘s inflation reading, and Taiwan‘s industrial production numbers. Additionally, the Bank of Japan (BOJ) is expected to raise its short-term policy rate by a quarter of a percentage point to 0.5% on Friday, marking its first hike since the Global Financial Crisis.

The BOJ is likely to proceed cautiously, emphasizing a gradual approach to policy normalization. Meanwhile, the yen is trading near the lower end of its recent range, and the Nikkei 225 index remains just below the 40,000-point mark.

Key developments to watch on Thursday include the World Economic Forum in Davos and ongoing market reactions to global economic trends.