Stock markets across the Asia-Pacific region traded mostly higher on Friday, 9 January 2026, following a mixed session on Wall Street where defence shares surged on comments from former President Donald Trump.
Regional Markets Show Broad Gains
Japan's Nikkei 225 index led the advance, climbing 1.1% to close at 51,692.70. The rally was powered in part by a stellar performance from Fast Retailing, the parent company of the Uniqlo fashion chain. Its shares jumped more than 7% after reporting a quarterly operating profit surge of approximately 34% year-on-year, prompting an upward revision of its full-year forecasts.
In China, the Shanghai Composite rose 0.3% to 4,095.33, while Hong Kong's Hang Seng edged up less than 0.1% to 26,158.21. The modest gains came after official data indicated China's inflation rate accelerated in December at its fastest pace in nearly three years, suggesting improving domestic demand. In a notable debut, shares of Chinese AI startup MiniMax soared more than 50% in early trading on the Hong Kong Stock Exchange.
South Korea's Kospi added 0.7% to 4,582.95, and Taiwan's Taiex picked up 0.3%. Bucking the trend, Australia's S&P/ASX 200 slipped less than 0.1% to 8,715.60, weighed down by a 6% drop in Rio Tinto shares. The mining giant confirmed it is in preliminary merger talks with Glencore, a deal that could create the world's largest mining company.
Wall Street's Defence Rally and Cautious Tone
The positive sentiment in Asia followed a session on Wall Street where the spotlight fell squarely on the defence sector. Former President Donald Trump's stated aim to hike U.S. military spending to $1.5 trillion by 2027 triggered a significant rally in related stocks on Thursday. L3Harris Technologies led the charge, climbing 5.2%, while Lockheed Martin rose 4.3% and Northrop Grumman gained 2.4%.
Outside of defence, movements were more subdued as early-year optimism faded slightly. The Dow Jones Industrial Average was the standout, climbing nearly 0.6% to 49,266.11. The S&P 500 inched up less than 0.1% to 6,921.46, while the tech-heavy Nasdaq composite fell 0.4% to 23,480.02.
Economic data released on Thursday showed a slight rise in U.S. unemployment benefit filings in the final week of 2025, though levels remained historically low and in line with expectations. Separately, worker productivity was shown to have improved in the July-September quarter.
Key Events and Commodities in Focus
Investor attention is now firmly fixed on two key events due on Friday. The U.S. Labor Department's release of the December monthly jobs report is anticipated to provide a clearer picture of the American labour market. Concurrently, the U.S. Supreme Court is expected to issue a potential ruling on Trump's far-reaching "Liberation Day" tariffs, a decision that could significantly influence market sentiment.
In commodity markets, oil prices regained some ground early Friday after a volatile week. Benchmark U.S. crude rose 35 cents to $58.11 per barrel, while the international standard, Brent crude, gained 38 cents to $62.37. Supply concerns persist following Trump's ouster of Venezuela's leader and subsequent U.S. actions to assert control over the country's vast oil reserves. This week, the U.S. seized two more oil tankers, including one sailing under a Russian flag accused of evading sanctions.
In currency markets, the U.S. dollar strengthened against the Japanese yen, rising to 157.27 yen from 156.80. The euro slipped slightly to $1.1656 from $1.1661.
