Asian stocks exhibited a mixed performance on the final trading day of 2025, with some markets mirroring the losses seen on Wall Street as investors approached the New Year break with caution. The trading volume remained relatively low due to the holiday-shortened week, although precious metals such as gold and silver appeared to stabilize after experiencing a sharp decline from their recent record highs.
Markets in Hong Kong and Australia witnessed a slight downturn, while Shanghai and Taipei recorded minor gains in the morning session, capping off a strong year for global markets. This movement followed the slight decline in Wall Street’s main indices on Tuesday, which was attributed to lingering concerns over the valuations of artificial intelligence stocks.
Despite the cautious trading, US indices are poised to end 2025 on a positive note, with similar gains observed in Asian markets. The Seoul Kospi and Tokyo Nikkei 225 indices have surged over 75% and 26%, respectively, throughout the year, although both markets were closed on Wednesday.
Official data from China indicated a slight increase in factory activity during December, providing a positive note to an otherwise underwhelming conclusion to the year for the world’s second-largest economy. The Federal Reserve’s decision to ease monetary policy in the second half of 2025 has been a significant driver of the global market upswing, compounded by the substantial investment in the tech sector, particularly in artificial intelligence.
The minutes from the Fed’s recent policy meeting suggested that most officials believe future rate cuts would be appropriate if inflation cools down as expected over time. Precious metals, such as gold and silver, have experienced significant fluctuations, driven by their status as safe-haven investments amidst geopolitical tensions. Although gold and silver reached record highs recently, they have decreased in value, with gold currently trading at around $4,370 per ounce and silver at $74.96.
Key market figures as of 0230 GMT included the Hang Seng Index in Hong Kong, which declined 0.8% to 25,652.98, while the Shanghai Composite rose 0.2% to 3,974.43. The euro and pound sterling experienced a downturn against the US dollar, with the euro trading at $1.1740 and the pound at $1.3462. The dollar gained against the yen, reaching 156.48. Oil prices remained relatively stable, with West Texas Intermediate down 0.1% at $61.24 per barrel and Brent North Sea Crude down 0.1% at $57.86 per barrel.
In summary, the final trading day of 2025 saw mixed results in Asian markets, with some tracking Wall Street’s losses while others edged higher, as investors looked forward to the New Year break. Despite the cautious trading, global markets are set to end the year on a positive note, driven by the Federal Reserve’s monetary easing and substantial investment in the tech sector.