Asia report: Most markets higher as trade sentiment improves
Markets in Asia were mostly higher on Monday, taking their lead from a solid session on Wall Street on Friday, after reports late last week that officials from both Beijing and Washington were working on proposals to end an ongoing trade spat between the two nations.
AUD/USD
$0.6533
23:03 26/04/24
GBP/NZD
NZD2.1025
23:53 26/04/24
Hang Seng
17,651.15
10:20 26/04/24
Nikkei 225
37,934.76
09:44 26/04/24
USD/JPY
¥158.3270
01:54 27/04/24
In Japan, the Nikkei 225 was down 0.32% at 22,199.00, as the yen weakened 0.13% against the dollar to last trade at JPY 110.64.
On the mainland, the Shanghai Composite added 1.11% to 2,698.47, and the smaller, technology-heavy Shenzhen Composite rose 0.6% to 1,451.07.
South Korea’s Kospi eked out gains of 0.04% to 2,247.88, while the Hang Seng Index in Hong Kong was 1.41% higher at 27,598.02.
Trade was at the forefront once again, after a report in the Wall Street Journal suggested officials from the US and China were working on plans to hold more talks, in a bid to end the ongoing trade dispute between the countries.
The talks would culminate in a summit between Donald Trump and Xi Jinping in November, following meetings between Beijing and Washington delegations set down for 22 and 23 August.
“This has given markets some reason for optimism that a de-escalation of Sino-US trade tensions is possible one side or other of November's US midterm elections,” noted National Australia Bank head of foreign exchange strategy Ray Attrill.
Oil prices were mixed, with Brent crude last 0.37% higher at $72.10 per barrel, while West Texas Intermediate weakened 0.02% to $65.90.
In Australia, the S&P/ASX 200 added 0.09% to 6,345.00, as a fall in the hefty financials subindex negated much of the gains seen in the materials sector.
Of the major banks in Sydney, Australia and New Zealand Banking Group was off 0.76%, Commonwealth Bank of Australia fell 0.92%, National Australia Bank lost 0.28%, and Westpac Banking Corporation was 0.63% weaker.
Over among the major miners, BHP rose 1.31% in Sydney trading, while Fortescue Metals was 1.19% firmer and Rio Tinto added 0.31%.
That was despite Fortescue Metals reporting a near-halving of annual profits, as prices for lower quality iron ore weakened.
Across the Tasman Sea, New Zealand’s S&P/NZX 50 started the busiest week of the country’s earnings season with a bang, rising 0.6% to a record close of 9,109.15.
Both of the down under dollars were stronger on the greenback over the weekend on the back of positive US-China trade developments, but slid back by the end of the Asia-Pacific day on Monday.
The Aussie was last 0.1% weaker at AUD 1.3688, and the Kiwi retreated 0.31% to NZD 1.5113.