Asian shares showed mixed performances on Wednesday, January 7, 2026, after the recent record rallies on Wall Street. Investors are focusing on global interest rates and the uncertainties arising from political developments, particularly in Venezuela. Japan's Nikkei 225 index experienced a decline of 0.9%, settling at 52,041.97, while South Korea's Kospi fell by 0.5% to 4,503.23—both indices had reached record highs the previous day. In contrast, Australia’s S&P/ASX 200 rose by 0.3%, closing at 8,708.50.
In Hong Kong, the Hang Seng index decreased by 1% to 26,471.97, whereas the Shanghai Composite managed a slight increase of 0.3%, reaching 4,095.94. Tan Boon Heng, an analyst at Mizuho Bank in Singapore, noted that global uncertainty is deepening due to recent events, specifically the capture of Venezuelan President Nicolás Maduro by U.S. forces during a raid, as well as the political tensions surrounding President Donald Trump's threats regarding Greenland.
On the previous day, the U.S. stock market experienced broad gains, particularly driven by technology stocks, resulting in new records. The S&P 500 rose by 0.6%, reaching a record of 6,944.82 on just the third trading day of the year, while the Dow Jones Industrial Average saw a 1% increase, closing at 49,462.08, marking its second consecutive day of record highs. The Nasdaq composite increased by 0.6% to 23,547.17, and small-cap stocks in the Russell 2000 outperformed larger stocks, jumping 1.4% and nearing a record set in December.
Amazon's stock surged by 3.4%, solidifying its position as one of the most valuable companies globally. This week, technology companies, particularly those specializing in artificial intelligence, are drawing significant attention due to the annual CES trade show in Las Vegas. This segment's advancements were pivotal in propelling the U.S. market to a series of record highs in 2025.
The Federal Reserve is currently analyzing economic data in anticipation of its next meeting later in January. In 2025, the central bank had lowered its benchmark interest rate three times, and Wall Street expects it to maintain steady interest rates in the upcoming January meeting. Meanwhile, U.S. Treasury yields saw an upward trend. The yield on the 10-year Treasury rose to 4.16% from 4.15%, while the yield on the two-year Treasury, which closely aligns with expectations regarding Fed actions, increased to 3.46% from 3.45% late Monday.
In the commodities market, U.S. crude oil prices fell 78 cents, nearly 1.3%, settling at $56.35 per barrel. Similarly, Brent crude, which serves as the international benchmark, declined by 59 cents, ending at $60.11 per barrel. In the precious metals sector, gold prices dipped 0.3%, and silver saw a decline of 1.5%. These metals are frequently viewed as safe-haven assets during times of geopolitical tension and have experienced record prices over the past year, driven by ongoing economic uncertainties stemming from various conflicts and trade disputes.
In currency exchanges, the U.S. dollar strengthened against the Japanese yen, rising to 156.71 from 156.62 yen. The euro also saw a slight increase, priced at $1.1696 compared to $1.1692 the day prior.
