Most Asia markets rally as dealers return from holiday
Traders were given a positive lead from Wall Street, where the
Nasdaq ended at another record high, while Trump looked
to ease tensions with North Korea
AFP
AFP, HONG KONG: Most Asian markets advanced yesterday as regional investors returned from a long holiday weekend, with eyes now on a Federal Reserve meeting and the release of US jobs data later in the week.
Another record close on Wall Streets Nasdaq index provided some early buying impetus, while there was also relief that lawmakers in Washington had finally hammered out a deal to avoid a costly shutdown of the US economy.
However, there was some disappointment in figures last week showing that growth in the US, British and French economies all came in below expectations.
Tokyo ended 0.7 per cent higher, with a weaker yen boosting exporters. The greenback is pushing back above 112 yen, having fallen last month on worries about Donald Trumps ability to push through his pro-growth agenda.
Hong Kong was up 0.3 per cent higher and Seoul added 0.7 per cent by the close, while Wellington, Singapore, Taipei and Manila all posted healthy gains.
However, Shanghai slipped 0.4 per cent after official data at the weekend showed the pace of growth in Chinas factory activity slowed last month. A separate private reading on Tuesday revealed activity at its slowest pace in seven months.
Sydney was 0.1 per cent off.
Traders were given a positive lead from Wall Street, where the Nasdaq ended at another record high, while Trump looked to ease tensions with North Korea by saying he would be honoured to meet the countrys leader Kim Jong-Un under the right circumstances.
Attention turns now to the Feds latest policy meeting Wednesday. While the central bank is expected to hold off another interest rate rise, its statement will be pored over for clues about plans for the future.
The gathering will be followed by Fridays release of job creation figures, which will give a better snapshot of the state of the worlds top economy.
Asian banking shares were mixed after Trump said in an interview that he was reviewing a possible breakup of large US banks.
He told Bloomberg News he was considering a 21st century version of the 1933 Glass-Steagall law that separated consumer lending and investment banking and was repealed in 1999 by President Bill Clinton.
Im looking at that right now, Trump said. Theres some people that want to go back to the old system, right? So were going to look at that.
However, the Trump administration has not released details about what an eventual breakup plan might look like.
