Closing Bell 14th May: ASX flat as it consolidates recent rally. Aristocrat drops on weaker numbers

Asia-Pacific markets traded mixed on Wednesday, despite a rebound on Wall Street driven by easing U.S.-China trade tensions. Japan’s Nikkei 225 fell 0.68% following four consecutive gains, while South Korea’s Kospi added 0.53%. Australia’s S&P/ASX 200 was flat. In China, the Hang Seng Index rose 0.96%, but the mainland CSI 300 ended little changed.

Wall Street surged after the U.S. and China reached a temporary truce on tariffs, with the Dow Jones Industrial Average jumping over 1,000 points on Monday. However, analysts remain cautious. Julius Baer noted that while market sentiment has improved, expectations of a swift resolution to the trade conflict are premature. “Any new deals are likely to involve complex conditions and lengthy implementation timelines,” the bank said, adding that a full rollback of tariffs is unlikely.

Attention is now turning to Asian semiconductor stocks after Nvidia shares rallied. CEO Jensen Huang said the company will deliver over 18,000 next-generation AI chips to Saudi-backed startup Humain, boosting investor sentiment in the region’s tech sector.