Australia

Australian shares are set to open lower, after tech shares again lifted the Nasdaq and S&P 500 to fresh records highs.

ASX futures were down 0.1% or 6 points as of 8:30am on Wednesday, suggesting a lower open.

In the US, Nvidia continued grinding higher Tuesday, helping the S&P 500 eke out its 31st record close of the year.

The artificial-intelligence trade helped push the broader S&P 500 0.3% higher. After wobbling between small gains and losses throughout the day, the Nasdaq Composite finished slightly higher. The Dow Jones Industrial Average inched up by 0.1%, or 57 points.

In commodity markets, Brent crude oil was uyp 1.3% to US$84.41 a barrel, while gold was flat at US$2,329.10.

In local bond markets, the yield on Australian 2 Year government bonds was up at 3.93% while the 10 Year yield was also up at 4.15%. US Treasury notes were down, with the 2 Year yield at 4.71% and the 10 Year yield at 4.22%.

The Australian dollar was 66.55 US cents, up from its previous close of 66.53. The Wall Street Journal Dollar Index, which tracks the US dollar against 16 other currencies, was down at 99.88.

Asia

Chinese shares ended higher, led by software-related stocks. The benchmark Shanghai Composite Index rose 0.5% to 3,030.25, the Shenzhen Composite Index was 0.7% higher, while the ChiNext Price Index gained 0.3%. Investors are digesting the latest May activity data and watching for more policy signals from key political meetings in July. Among major stocks, iflytek was 1.6% higher and 360 Security Technology added 2.0%. Decliners included WuXi AppTec, which dropped 3.3% and Oppein Home, which was 2.1% lower.

Hong Kong's Hang Seng Index closed 0.1% lower at 17,915.55, dragged by tech-related and consumer stocks. The bourse appears to be directionless after Monday's mixed China economic data, Sonija Li, head of retail research at Maybank Investment Bank, says in a note. China's May industrial production data missed expectations and the property sector remains weak, Li says, though retail sales beat estimates. Among decliners, WuXi AppTec fell 3.8%, Netease shed 3.1% and Longfor Group was down 3.2%. Meanwhile, China Hongqiao rose 4.4% and Orient Overseas (International) added 3.95%. The Hang Seng Tech Index closed 0.3% lower at 3,697.21.

Japan's Nikkei Stock Average closed 1.0% higher at 38,482.11, led by electronics and technology stocks. The Nasdaq's rise to a new high helped Japanese electronics makers. TDK went up 6.3% and Fujitsu increased 3.1%. The 10-year Japanese government bond yield was up 1.5 bps at 0.940%. Investors are focusing on economic indicators, including eurozone inflation data and U.S. retail sales.

India's Sensex closed 0.4% higher at 77,301.14, led by bank stocks. Markets appear optimistic around the U.S. economic growth outlook, the UOB Global Economics & Markets Research team said in a note. Investors are likely eyeing U.S. retail sales data due later today. Among advancers, ICICI Bank rose 1.6%, Axis Bank gained 0.9% and HDFC Bank was 0.7% higher. Among decliners, Maruti Suzuki India fell 2.1%, while Tata Steel and UltraTech Cement each lost 1.0%.

Europe

Stocks in the U.K. ended higher on Tuesday, as the FTSE 100 Index rose 0.6% to 8,191.29.

In Europe, shares closed higher, with the STOXX Europe 600 Index up 0.7% to 515.01, Germany's DAX adding 0.4% to 18,131.97 and France's CAC 40 gained 0.8% to 7,628.80.

North America

Nvidia continued grinding higher Tuesday, helping the S&P 500 eke out its 31st record close of the year.

Many traders held their fire in a subdued trading session before U.S. stock and bond markets closed for Juneteenth on Wednesday. Even so, the S&P 500's chip-heavy information-technology sector notched an eighth-straight gain, its longest winning streak since November.

The artificial-intelligence trade helped push the broader S&P 500 0.3% higher. After wobbling between small gains and losses throughout the day, the Nasdaq Composite finished slightly higher. The Dow Jones Industrial Average inched up by 0.1%, or 57 points.

Markets have been exceptionally calm in recent weeks as investors parse data about how the U.S. economy is holding up under slowly moderating inflation and still-high interest rates. Fresh reports provided mixed signals on Tuesday, with May retail sales rising less than expected while manufacturing production revved up.

The Federal Reserve last week suggested that price pressures are gradually easing and projected one rate cut later this year. Still, some including Boston Fed President Susan Collins urged caution at public appearances Tuesday.

"We should not overreact to a month or two of promising news," Collins said in prepared remarks in Massachusetts, "just as it was not appropriate to take too much signal from the disappointing data at the beginning of this year."

Despite that wariness, traders on Tuesday dialed up their bets on rate cuts and snapped up bonds to extend a June rally. As prices for benchmark 10-year Treasurys rose, yields ticked lower to 4.216%.

That move helped give stocks a boost, including the chip makers and designers that have powered the market's 2024 advance.

Nvidia led the way Tuesday with a 3.5% gain, closing ahead of Microsoft as the most valuable listed U.S. company for the first time. Investors now value the maker of artificial-intelligence chips at $3.34 trillion. Shares in each of the other members of the so-called Magnificent Seven tech titans fell.