Asia shares edge up as chip selloff eases; US CPI awaited

Asian shares edged higher on Wednesday, with artificial intelligence-linked stocks recovering part of their recent losses, Business Recorder reported. Gains were limited, however, by elevated oil prices and caution before US inflation data due later in the day. Investors were also watching the Chinese inflation report for signs that domestic demand is picking up.

Samsung Electronics and SK Hynix each climbed more than 2% in South Korea, while Kioxia held steady in Japan and regained part of the previous session's losses. MSCI's index of Asia-Pacific shares outside Japan rose 0.5% after a mild decline on Wall Street. Korea's Kospi index gained 1.8%, while Japan's Nikkei edged up 0.2%.

Brent climbed to $106.6 and US crude was up 0.8% at $94.96 a barrel, as supply concerns grew after Houthi missile and drone attacks on Saudi Arabia. Longer-dated Treasuries drew buyers as investors sought safety, with the 10-year yield steady at 5.221% after touching a near two-week low and the 30-year at 5.569%. On average, economists expect US headline inflation to have quickened to an annual 3.6% in September, with core CPI up 0.2% monthly. Markets priced a 22% chance of an October Fed rate hike ahead of the data, while New York Fed President John Williams said one more increase this year may be needed but saw no need for hikes in 2027.