Tech leads shares higher in Asia as oil slips

Asian shares edged higher on Monday as strong demand for AI-related data lifted chipmakers, Business Recorder reported. Oil prices slipped after reports that more crude was leaving the Middle East than earlier estimates suggested, despite the continuing Gulf conflict. Trading stayed light because Japan is closed for its Silver Week holiday until Wednesday.

Japan's Nikkei remained shut, yet its futures climbed 0.5%, and South Korea's tech-heavy index added 1.5%. The yen jumped on Friday after the Nikkei newspaper reported rate checks by Japanese authorities, and it traded at 156.67 per dollar on Monday as investors watched for possible Bank of Japan intervention. US equity futures also firmed, with S&P 500 contracts up 0.4% and Nasdaq futures 0.6%.

US two-year Treasury yields rose 36 basis points over the past two weeks to 4.7604%, their highest since mid-2024. Hawkish guidance from the Federal Reserve last week has futures pricing a 56% chance of another rate hike in October. Brent crude slid 2.1% to $101.63 per barrel, US crude fell 2.1% to $98.15, and gold held near $4,380 an ounce as higher yields weighed on it.