Asian equities advanced on Wednesday on artificial-intelligence enthusiasm, cryptocurrencies attempted a rebound, and Paramount increased its bid for Warner Bros. Discovery.
Meanwhile, attention also remained on US President Donald Trump’s record-length address to Congress.
Asian equities climb on AI optimism
Asian financial markets moved higher, led by technology and semiconductor stocks tied to artificial intelligence demand.
MSCI’s broadest Asia-Pacific index outside Japan rose about 1.59%, while Japan’s Nikkei hit a record high and Korea’s KOSPI climbed nearly 2.3%, trading above 6,000 for the first time.
India’s Nifty 50 also gained 0.69%.
Korean chipmakers Samsung Electronics and SK Hynix have doubled in price since October amid a global memory chip shortage, as capital flows into companies seen as key suppliers to the AI ecosystem.
NVIDIA’s upcoming earnings were also a focal point for investors.
Currencies and interest-rate expectations added to market dynamics.
The yen strengthened slightly to 155.7 per dollar, while uncertainty around Bank of Japan policy grew after reports that Prime Minister Sanae Takaichi expressed reservations about further rate hikes.
Economists expect the BOJ to raise its key rate to 1% by June, with traders assigning a 50% probability to an April hike.
Crypto markets rebound as bitcoin tests key levels
Cryptocurrencies staged a modest recovery alongside stronger Asian equities and a weaker US dollar.
Bitcoin reclaimed levels above $65,400 after the broader crypto market cap retested lows reached during the February 5 crash.
Analysts pointed to a potential technical formation.
According to FxPro analyst Alex Kuptsikevich, a sustained recovery could confirm a classic “double bottom,” implying about 10% upside. However, he warned that “a failure to rebound will signal the end of the recovery, opening the potential for a further 25% decline.”
Major altcoins followed bitcoin higher, with Ether rising 4.2%, Solana gaining 7%, and XRP adding 3%.
Despite the bounce, sentiment remains fragile after bitcoin’s nearly 50% decline from record highs, with some analysts describing a “crisis of confidence.”
Trump delivers record-length address to Congress
Investors also monitored political developments after President Donald Trump delivered a one-hour-and-47-minute address to Congress — the longest presidential speech on record.
Trump emphasized economic achievements, declaring, “Our nation is back — bigger, better, richer and stronger than ever before.”
He said inflation had been curbed and markets strengthened, though recent data showed economic growth slowed while prices remained elevated.
The president largely avoided attacking the Supreme Court after its tariff ruling, calling it “unfortunate,” and said regarding Iran, “My preference is to solve this problem through diplomacy,” adding, “But one thing is certain, I will never allow the world’s No. 1 sponsor of terror, which they are by far, to have a nuclear weapon.”
The speech prompted protests inside the chamber, and Virginia Governor Abigail Spanberger criticized the administration in the Democratic rebuttal, saying, “Our broken immigration system is something to be fixed, not an excuse for unaccountable agents to terrorize our communities.”
Paramount increases bid for Warner Bros Discovery
Corporate dealmaking also drew attention after Warner Bros. Discovery confirmed it received a revised takeover offer from Paramount at $31 per share, up from $30.
The bid challenges Netflix’s existing agreement to purchase Warner’s studios and HBO Max business for $27.75 per share.
Paramount’s proposal includes a 25-cent quarterly “ticking fee” if the deal remains unfinished after September 30 and a $7 billion regulatory termination fee.
It would also cover Warner’s $2.8 billion breakup fee owed to Netflix if that transaction collapses.
Warner said its board believes Paramount’s proposal “could reasonably be expected to lead” to a superior offer, though the company still recommends the Netflix deal while it evaluates options.
Under the agreement, Netflix has four days to match any competing proposal.
Both transactions are expected to undergo regulatory review in the United States and internationally, while the Justice Department is examining potential antitrust issues related to Netflix’s proposed acquisition.
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