Nomura analysts have announced an upward revision of their target levels for both the MSCI China Index and the MSCI Asia (excluding Japan) Index by the close of 2026. This adjustment is rooted in their positive outlook on the technology and artificial intelligence (AI) sectors, coupled with the anticipated upward trend in the earnings cycle for Asian firms. In their report, strategists like Chetan Seth and Ankit Yadav highlighted that the Asian earnings season has kicked off on a promising note, with analysts boosting their forecasts. This optimism largely stems from the expansive prospects of AI-related capital expenditures, especially its beneficial effects on some of Asia's leading tech hardware producers. Specifically, the target for the MSCI Asia (excluding Japan) Index by the end of 2026 has been elevated from 901 points to 1035 points, hinting at a 12% potential increase. Meanwhile, the target for the MSCI China Index by the end of 2026 has been adjusted from 90 points to 93 points, indicating a 5% potential rise.