Major Asian stock markets opened Wednesday’s session, 14 October, recovering from the previous day’s losses, but gains were capped by the release of results from ASML. The Dutch manufacturer of semiconductor production equipment disclosed that it will be unable to fully meet demand in 2027 and 2028, despite plans to expand production capacity.
The MSCI Asia Pacific index, which tracks equity market performance across the region, rose by nearly 0.7% at its peak before briefly reversing course. It subsequently recovered to a gain of 0.1%, against a backdrop of persistent volatility among companies linked to artificial intelligence (AI).
In Europe, futures on the major indices pointed to a positive open, despite an initial negative reaction to ASML shares in pre-market trading.
The Dutch manufacturer announced that demand for equipment used in semiconductor production is expected to continue outpacing its supply capacity in 2027 and 2028, driven by investment in AI infrastructure. The company also revised its 2026 sales outlook upward, now projecting revenues of between €44 billion and €45 billion.
Despite the favourable outlook for ASML’s business, investors remain alert to risks associated with elevated valuations among technology companies and the sustainability of artificial intelligence investment.
In South Korea, the Kospi closed the session down by nearly 1%, having fallen around 5% the previous day. Among the leading semiconductor manufacturers, Samsung Electronics gained 0.22%, while SK Hynix fell 1.8%, reflecting the uneven performance across the sector.
Market attention is also focused on the release of US September inflation data, which could influence expectations around the Federal Reserve’s next policy decisions. Analysts anticipated an acceleration in year-on-year inflation from 3.4% in August to 3.6% in September.
A reading above or below forecasts could shift investor expectations regarding the trajectory of interest rates. According to available data, the market was assigning a probability of less than 25% to a rate increase at this month’s meeting.
“Today’s inflation data will be particularly important, given the sharp recent swings in expectations regarding further rate hikes by the Fed,” said Nick Twidale, chief market analyst at AT Global Markets, in a note cited by Bloomberg.
“An inflation reading above expectations could quickly reignite expectations of further monetary tightening,” he added.
Elsewhere in Asia, Hong Kong’s Hang Seng advanced 0.06%, while mainland China’s Shanghai Composite fell 0.83%. Japan’s Nikkei 225 gained 0.10%, whereas Australia’s ASX 200 lost 0.64%, reflecting the absence of a uniform trend across regional markets.
Source: Diário Económico
Original article: https://www.diarioeconomico.co.mz/?p=552245
