Asia-Pacific equities rose broadly, supported by Wall Street’s strongest quarterly performance in six years and upbeat BoJ Tankan survey results.

Asia-Pacific equities advanced across major markets on Monday, buoyed by Wall Street's robust first-half performance and positive economic signals from Japan. The Dow Jones Industrial Average closed at a record high, rising 0.59% as de-escalation in U.S.-Iran tensions lifted risk appetite. The S&P 500 and Nasdaq Composite also posted gains, with the tech-heavy Nasdaq rising 2.07%.

In Asia, markets were lifted by the strong U.S. performance and the release of the Bank of Japan’s Tankan survey, which is expected to show improved business sentiment among Japanese manufacturers and non-manufacturers. The survey, released on July 1, 2026, is a key indicator of Japan’s economic health and is closely watched for insights into corporate confidence and inflation expectations.

Meanwhile, India’s private sector growth slowed to a three-month low in June, according to a PMI report, highlighting weaker demand and declining business confidence. Despite this, regional markets remained resilient, supported by broader global optimism and a firm U.S. dollar, which held steady amid expectations of a Federal Reserve rate hike later this year.

The mixed regional economic data underscores the divergent trends shaping the Asia-Pacific region, with some economies showing resilience while others face headwinds from shifting global dynamics and tightening monetary policy.