Asian equities have kicked off 2026 with their strongest start on record, outpacing the United States as investors shift capital toward the region’s tech sector, currencies, and corporate bonds amid attractive valuations and AI-driven growth prospects.

NVIDIA has announced its plan to acquire Groq, an AI chip designer, for $20 billion. This strategic move aims to enhance NVIDIA's position in the evolving AI hardware market.

Asian equities advanced on Monday, lifted by a rebound in artificial intelligence-related shares that sparked a rally on Wall Street last week. U.S. futures also pointed higher at the start of the new trading week.

Asian equities advanced on Wednesday, supported by strong buying in technology shares, while oil prices surged more than 1% following an escalation of U.S. sanctions pressure on Venezuela.

Most Asian markets fell on Monday, led by declining technology shares amid weak U.S. earnings guidance. Chinese stocks showed relative resilience, but wider economic fears suggest increased stimulus pressures.

Oil prices saw a slight uptick as U.S. crude inventories fell 3.8 million barrels. Ongoing negotiations for Venezuelan oil sales further complicate market dynamics while analysts predict future oversupply concerns.

Newmont Goldcorp projects a 60,000-ounce decline in gold production for Q1 2026 due to a recent bushfire affecting its Boddington project in Western Australia. Operations have resumed at reduced capacity, with full restoration expected by February.

Oil prices rebounded after the U.S. captured Venezuelan President Maduro, signaling potential increases in global supply. OPEC+ maintained current production levels, as geopolitical tensions continue to influence the market.

Gold and silver prices soared to unprecedented levels on Friday as investors flocked to safe-haven assets in response to escalating geopolitical tensions and a declining U.S. dollar, with forecasts predicting continued strength into the new year.

Gold surged to an all-time high as safe-haven demand increased due to escalating tensions between the U.S. and Venezuela, with significant gains seen in other precious metals like silver and platinum.

Bitcoin’s strong start to 2026 was interrupted on Tuesday as a wave of selling erased much of its recent gains, triggering more than $440 million in leveraged position liquidations. Analysts view the pullback as a short-term hurdle in a broader recovery trend rather than a reversal.

Bitcoin fell to $87,458, down 2.5% as it struggled to maintain momentum above $90,000. Diminished institutional demand and holiday-thinned trading conditions have led to increased caution among investors ahead of key Federal Reserve meeting minutes.

XRP exchange-traded funds (ETFs) have reached a significant milestone, with total net assets surpassing $1.25 billion, even as the token’s price remains confined to a narrow range—highlighting a growing divergence between steady institutional accumulation and muted spot market momentum.

Bitcoin's recent push back toward the $90,000 mark has provided the cryptocurrency market with a short-term lift, but few analysts view the move as a meaningful turning point following one of the weakest second halves in recent years.

Bitcoin's near-term upside remains constrained by persistent selling from investors sitting on losses, creating a fragile trading environment as markets enter a typically low-liquidity holiday period.

Westpac analysts forecast the Reserve Bank of Australia will hold interest rates steady through 2026, with potential cuts now expected in early to mid-2027 due to resurging inflation and labor market concerns.

As investors remain cautious, focus turns to upcoming UK wage data and European manufacturing insights ahead of crucial interest rate discussions. Market sentiment reflects heightened risk aversion amid U.S. jobs report anticipation.

Australian CPI inflation surged to 3.8% year-on-year in October, exceeding expectations and complicating the Reserve Bank's strategy for interest rate reductions. Electricity prices significantly contributed to this increase, raising concerns about ongoing inflation pressures.

The September nonfarm payrolls report revealed strong job growth but rising unemployment, leaving investors uncertain about December rate cuts. Bank of America forecasts limited scope for further Fed easing amidst labor market shifts.

Australia’s trade surplus expanded more than anticipated in July, primarily fueled by robust export activity as demand for commodities in key Asian and European markets showed slight recovery during the month.

The Bank of Japan is expected to raise its benchmark interest rate to 0.75% on December 19, marking its first increase since early 2025, amidst ongoing inflation and a weakening yen. Analysts predict additional hikes in 2026 as the central bank navigates renewed monetary policy normalization under Governor Kazuo Ueda.

The U.S. dollar fell to multi-month lows against major currencies after the Federal Reserve’s dovish outlook and a significant rise in jobless claims. The Swiss franc gained support from steady interest rates.

The U.S. dollar remains under pressure as disappointing manufacturing data heightens expectations for a rate cut by the Federal Reserve at its upcoming meeting on December 10. Manufacturing PMI fell to 48.2, marking the ninth consecutive month of contraction.

The U.S. dollar is set for its most significant weekly drop in four months, driven by expectations of monetary easing and pressure to reduce interest rates. In contrast, the yen and Australian dollar gain traction amid shifting market dynamics.

Morgan Stanley forecasts a 5% drop in the dollar by mid-2026, attributed to continued Fed rate cuts. A recovery may follow as growth improves and funding currency dynamics shift favorably toward the euro and Swiss franc.

Barclays has increased its earnings and price projections for the S&P 500 through 2025 and 2026, attributing the upgrade to stronger-than-anticipated corporate results in the first half of the year and a robust earnings landscape despite trade tensions and labor challenges.

S&P 500 and Nasdaq futures climbed modestly on Tuesday evening, fueled by strong gains in Alphabet Inc. after a court handed down a less stringent antitrust ruling than initially feared.

Asian equities declined on Wednesday, following Wall Street's losses driven by escalating concerns over U.S. trade tariffs.

Last week, the S&P 500 continued its upward momentum despite notable shifts in market leadership.