Asia Markets: Asian Markets Mostly Up After Down Day On Wall Street

Asia-Pacific stock markets gained after a choppy start Wednesday, following the first down day on Wall Street in seven sessions.

Taiwan’s benchmark Y9999, +2.81%   jumped 2.5% following after being closed for the Lunar New Year break. Tech stocks led gains; lens maker Largan Precision 3008, +7.34%   rose 8%.

Markets in Hong Kong, Japan and South Korea also gained.

Korea’s Kospi SEU, +0.60%   was recently up 0.3% after falling as much as 0.5% earlier. Samsung Electronics 005930, -0.25%   was recently up 0.1%.

The Hang Seng Index HSI, +1.81%   rose 0.8% Wednesday morning and a gauge of Chinese companies with listings in the city advanced 1.3%. Mainland Chinese markets resume trading on Thursday.

“For the rest of the year, there are reasons to be more optimistic about China than many other developed markets like the U.S., both because valuations are reasonable and haven’t gone up as much for quality stocks, and the macroeconomic picture,” said Andy Rothman, investment strategist at Matthews Asia.

He noted 2017 was a “fantastic year” for earnings growth in China, though gains would be slower this year, but more profit increases are looming.

Stocks in the MSCI China Index recorded about twice the gains in January than the S&P 500 and are down by less year-to-date than the U.S. benchmark.

Meanwhile, Japanese stocks strengthened by midday. The Nikkei NIK, +0.21%   ended the morning up 0.6% as the yen continued to pull back. The U.S. dollar JPYUSD, -0.072620%   was recently trading at ¥107.80, its highest level in a week, versus ¥106.75 at the end of Tokyo stock trading Tuesday.

A preliminary Japanese purchasing managers index reading eased to 54 in February from 54.8. A reading above 50 indicates economic expansion and the figure “is still close to a four-year high,” said Marcel Thieliant, senior Japan economist at Capital Economics.

The figure “suggests that export volumes will continue to expand at a solid pace,” he said, and signals that price pressures aren’t strengthening more.

New Zealand’s NZX 50 NZ50GR, +1.26%   was up 1.5% late in the afternoon, driven by a 25% surge in a2 Milk ATM, +26.48%   following strong fiscal first-half results and a partnership-and-supply deal with Fonterra Co-Operative Group FCG, +0.67%  , the world’s largest dairy exporter.

Oil futures were down more than 0.5% and bitcoin prices BTCUSD, -6.37%   continued to hovered around $11,000 after bouncing about 86% from this month’s lows, according to data from CoinDesk.

RECENT NEWS

The Penny Drops: Understanding The Complex World Of Small Stock Machinations

Micro-cap stocks, often overlooked by mainstream investors, have recently garnered significant attention due to rising c... Read more

Current Economic Indicators And Consumer Behavior

Consumer spending is a crucial driver of economic growth, accounting for a significant portion of the US GDP. Recently, ... Read more

Skepticism Surrounds Trump's Dollar Devaluation Proposal

Investors and analysts remain skeptical of former President Trump's dollar devaluation plan, citing tax cuts and tariffs... Read more

Financial Markets In Flux After Biden's Exit From Presidential Race

Re-evaluation of ‘Trump trades’ leads to market volatility and strategic shifts.The unexpected withdrawal of Joe Bid... Read more

British Pound Poised For Continued Gains As Wall Street Banks Increase Bets

The British pound is poised for continued gains, with Wall Street banks increasing their bets on sterling's strength. Th... Read more

China's PBoC Cuts Short-Term Rates To Stimulate Economy

In a move to support economic growth, the People's Bank of China (PBoC) has cut its main short-term policy rate for the ... Read more