Asian shares are mostly higher, tracking Wall Street’s fresh records, and oil prices fall

Asian shares were mostly higher on Wednesday and oil prices fell after the U.S. stock market rose to more records.

South Korea’s Kospi jumped nearly 5% and Taiwan’s benchmark also surged as the boom in artificial intelligence drove heavy buying of computer chipmakers and other technology companies.

In Tokyo, the Nikkei 225 also was lifted by gains for tech-related shares, climbing 1.3% to 65,816.62. It topped 66,000 for the first time in intraday trading.

Computer chip equipment maker Tokyo Electron’s shares jumped 5.9% and testing equipment maker Advantest gained 5.7%.

The latest rally in tech shares followed a 19.3% advance for Micron Technology, which was the strongest force lifting the S&P 500 after analysts at UBS led by Timothy Arcuri raised their 12-month price target for the stock to $1,625 from $535. Micron closed at $895.88.

The analysts are forecasting continued strength in demand for computer memory. Micron’s stock has more than tripled so far this year and it has become the latest Big Tech company to top an overall value of $1 trillion, joining Nvidia, Apple and Microsoft, which have each blown past $3 trillion.

The rush to invest in AI has been pushing share prices in South Korea and Taiwan to records this year.

The Kospi in Seoul gained 4.9% to 8,457.09, an all-time high, as Samsung Electronics’ shares soared 7%.

In Taiwan, the Taiex surged 2.7%.

Elsewhere in Asia, Hong Kong’s Hang Seng lost 0.7% to 25,426.92 and the Shanghai Composite index shed 0.2% to 4,136.87.

Australia’s S&P/ASX 200 edged 0.1% to 8,662.10.

On Tuesday, U.S. stocks rose to records the S&P 500 climbed 0.6% to 7,519.12 after trading resumed following Monday’s Memorial Day holiday, setting an all-time high. The Nasdaq composite rallied 1.2% to set its own record of 26,656.18, while the Dow Jones Industrial Average dipped 0.2% to 50,461.68.

U.S. stocks were catching up with climbs for others around the world the day before, when President Donald Trump said negotiations were “proceeding nicely” with Iran on ending their war.

But the situation remains unclear, as fighting has continued in the region. Markets have rallied in the past on hopes for a coming end to the war with Iran, only to see the conflict drag on.

Oil prices have been at the center of financial markets’ action since the United States and Israel attacked Iran in late February. The ensuing war has closed the Strait of Hormuz and kept oil tankers pent up in the Persian Gulf instead of delivering crude to customers worldwide. That in turn has driven up oil’s price and sent a wave of painful inflation around the world.

Hopes for a deal to improve the flow of oil helped lift stocks of companies with big fuel bills. United Airlines rose 6%, and Norwegian Cruise Line Holdings steamed 4.9% higher.

Still, U.S. households have been feeling discouraged about the economy because of accelerating inflation, and a report on Tuesday said consumer confidence edged downward in May, though the number was not as bad as economists expected. It followed a report on Friday that said sentiment among U.S. consumers hit its lowest level on record.

Early Wednesday, the price for a barrel of Brent crude, the international standard, lost 94 cents to $95.73 a barrel. The price for a barrel of U.S crude oil, fell $1.35 to $92.54.

Lower oil prices helped pull yields down in the U.S. bond market, which eased the pressure on Wall Street. The yield on the 10-year Treasury fell to 4.48% from 4.56% late Friday.

The U.S. dollar slipped to 159.28 Japanese yen from 159.30 yen. The euro rose to $1.1636 from $1.1631.

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AP Business Writer Stan Choe contributed to this report.