Asian equities rallied, tracking Wall Street's overnight bounce after President Trump announced a framework deal for Greenland and dropped tariff threats. The KOSPI surged over 2% to a record high, driven by Samsung and SK Hynix chip stocks, while Hyundai Motor also hit a peak. Japan's Nikkei jumped nearly 2% as bond yields fell.

Investors looked past Japan's weak fiscal health data, focusing instead on the upcoming Bank of Japan policy decision. Markets expect the BOJ to hold rates steady amid mixed economic signals. Australian shares gained on mining strength, though Fortescue Metals slipped on iron ore price concerns. Chinese indexes lagged, reflecting lingering trade and earnings uncertainty.

The Greenland relief provided a broader market tailwind, easing geopolitical anxieties that had pressured stocks earlier in the week. For South Korea, gains in AI-related chipmakers and autos signaled investor confidence in tech-driven growth despite soft Q4 GDP. Analysts predict a recovery in domestic consumption and exports as a key driver ahead.