Asian Shares Mixed; Nikkei Rallies On Tech Boost

(RTTNews) - Asian stocks turned in a mixed performance on Thursday, with Japanese markets hitting a near five-month high boosted by tech shares while Seoul stocks fell sharply due to profit taking following the recent market rally.

Gold ticked higher in Asian trade as the dollar weakened after reports that U.S. President Donald Trump was considering replacing Federal Reserve Chair Jerome Powell as early as September or October.

Oil extended overnight gains as a larger-than-expected draw in U.S. crude stocks signaled firm demand.

China's Shanghai Composite index ended down 0.22 percent at 3,448.45 after a choppy session as traders assessed simmering economic and geopolitical risks.

Hong Kong's Hang Seng index dropped 0.61 percent to 24,325.40, with tech and property stocks leading losses on Fed independence fears and anxiety ahead of Trump's looming tariff deadline.

Japanese stocks bucked the weak regional trend as tech stocks surged fueled by Nvidia's record high close overnight amid positive sentiment around AI adoption.

The Nikkei average closed up 1.65 percent at 39,584.58, after having hit 39,615.59 in intraday trading, a level last seen on January 31.

The broader Topix index settled 0.81 percent higher at 2,804.69. Advantest, Tokyo Electron and SoftBank Group surged 4-6 percent.

Automakers ended mostly lower as Japan's top trade negotiator Ryosei Akazawa reiterated that U.S. auto tariffs are unacceptable and it is in the national interest to protect the auto industry.

Seoul stocks snapped a five-day rally, with the Kospi average finishing 0.92 percent lower at 3,079.56. Tech heavyweight Samsung Electronics fell 1.8 percent, top automaker Hyundai Motor tumbled 3.5 percent and internet portal operator Naver plummeted 7.9 percent.

Australian markets ended marginally lower as weakness across technology names overshadowed strength in the resources sector.

Xero slumped 5.3 percent after announcing capital raising at a discount to fund its acquisition of U.S.-Israeli payments provider Melio Payments.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index edged up by 0.15 percent to 12,480.05, snapping a six-day losing streak.

U.S. stocks ended narrowly mixed overnight due to profit taking after a two-day rally and amid disappointing profit forecasts from the likes of FedEx and General Mills.

Investors also pored over a second day of congressional testimony from Fed Chair Powell, who reiterated cautious stance on rushing to cut interest rates.

The tech-heavy Nasdaq-Composite edged up by 0.3 percent to reach a fresh four-month closing high, while the S&P 500 finished marginally lower and the narrower Dow eased 0.3 percent.