Gold Breaks $5,500, Asian Stocks Mixed After Fed
Gold prices surged more than 3% and hit a new record on Thursday, after the US Federal Reserve kept its benchmark interest rate in the 3.50%–3.75% range. Spot gold surged to break $5,500 per ounce for the first time, underscoring the ongoing wave of safe-haven buying.
In Asia-Pacific, market movements were mixed. Australia (S&P/ASX 200) fell 0.69%. Japan was also mixed: the Nikkei 225 rose 0.18%, but the Topix fell 0.57%. In South Korea, sentiment was brighter—the Kospi rose 1.09% and the Kosdaq surged 2.69%.
One driving force came from Samsung Electronics, which rose 1.6% after reporting a more than threefold jump in fourth-quarter profits, beating estimates. The market believes demand for AI servers and tight memory chip conditions contributed to the company's performance. Meanwhile, Hang Seng futures were at 27,565, lower than the index's last close of 27,826.91.
Investors were also focusing on Indonesia after the Jakarta Composite Index (JCI) plunged more than 8% on Wednesday, following MSCI's warning of a potential downgrade of Indonesia's rating from emerging market status. Goldman Sachs reportedly downgraded Indonesia's rating to underweight, citing the potential for continued passive selling and its potential impact on market performance.
On Wall Street, the S&P 500 briefly reached a historic high, hitting 7,000 for the first time, but then reversed course after the Fed kept interest rates unchanged and assessed economic growth as "solid." The S&P 500 ended nearly flat at 6,978.03, the Dow closed slightly higher, and the Nasdaq edged higher. US bond yields rose after the Fed's statement highlighted a still-strong economy and stabilizing unemployment, while Jerome Powell said it was difficult to conclude that current policy was "too restrictive" based on incoming data.
5 Conclusions
Gold broke through $5,500/ounce after the Fed held interest rates.
Asian markets were mixed, with South Korea the strongest, and Australia weakening.
Samsung strengthened after Q4 profits surged, supported by AI server and memory chip stories.
Indonesia was in the spotlight after the Jakarta Composite Index (JCI) plunged and concerns about emerging market status emerged.
The S&P 500 briefly touched 7,000 but closed nearly flat; US yields rose after the Fed's statement. (az)
Source: Newsmaker.id
