TOKYO — Asian shares mostly rose early Tuesday following an overnight rally on Wall Street. Tokyo stock markets were closed for an extended holiday and trading is scheduled to resume Thursday.

Australia's S&P/ASX 200 index rose in early trading. South Korea's Kospi index rose in early trading. Hong Kong's Hang Seng index gained in early trading. The Shanghai Composite index rose in early trading.

The gains in Asia followed strong performance by U.S. markets on Monday. The Nasdaq composite climbed 599.55 points to 27,122.09 on Monday. The Nasdaq composite leaped 2.3% to an all-time high on Monday. The Nasdaq is American fully electronic stock exchange.

The S&P 500 index rose 114.20 points to 7,764.70 on Monday. The S&P 500 index jumped 1.5% on Monday, pulling within 0.4% of its record set last month. The Dow Jones Industrial Average added 366.19 points to 52,048.83 on Monday. The Dow Jones Industrial Average is stock market index.

Chip stocks and other companies in the artificial-intelligence industry led the gain in U.S. markets on Monday. Benchmark U.S. crude oil prices rose in Asian trading. Brent crude prices are higher than the roughly $72 price from earlier this summer but down from the nearly $110 touched last week.

The yield on the 10-year U.S. Treasury note eased to 4.95% from 5.01% late Friday. The 10-year U.S. Treasury yield crossed above the 5% threshold last week for the first time since 2023. The U.S. dollar edged up against the Japanese yen in currency trading. The euro traded against the U.S. dollar in currency trading.

Why It Matters

The movement in Asian markets reflects the influence of Wall Street performance on global trading sessions. With Tokyo closed for a holiday, activity in other regional hubs such as Sydney, Seoul, Hong Kong, and Shanghai provided the primary indicators of investor sentiment in the region. The rise in these indices suggests that the momentum from the U.S. rally extended into the Asian trading day despite the absence of Japan's market participation.

The broader financial context includes shifts in commodity prices and government bond yields. Crude oil prices showed increases in Asian trading, while the yield on the 10-year U.S. Treasury note eased after crossing the 5% threshold the previous week. Currency markets also saw activity, with the U.S. dollar edging up against the Japanese yen and the euro trading against the dollar. These movements occur alongside the resumption of Tokyo trading scheduled for Thursday, which will provide a more complete picture of regional market direction.

What's New

This report includes additional contextual information regarding the structure of the U.S. markets that drove the overnight rally.

Russia bombarded at least four Ukrainian regions with missiles overnight, according to Ukrainian officials. The attacks targeted energy infrastructure and residential areas, with explosions reported in the Dnipropetrovsk, Odesa, Sumy, and Kharkiv regions. Ukrainian air defenses intercepted several incoming missiles, but damage was reported in multiple locations. The strikes come amid ongoing hostilities in eastern Ukraine and continued international concern over the war's economic and humanitarian impact. While the immediate financial markets reaction to the attacks was limited, analysts note that prolonged conflict could influence energy prices and global risk sentiment, particularly in European markets.