Asian stock markets started strong in early Tuesday trading, building on Monday’s global gains which saw the S&P 500 and Nasdaq log record closing highs after President Donald Trump announced a pending trade deal with Mexico, easing global trade-war worries.
Japan’s Nikkei NIK, +0.61% rose 0.7%, briefly topping 23,000 for the first time since June 12, with exporters advancing as investors were more optimistic about U.S. trade policies. Many shippers, steel producers and auto makers were some 2% to 4% higher. Mitsui OSK Lines 9104, +2.79% jumped 3%, while Nippon Steel 5401, +1.19% rose 1% and Toyota 7203, +1.87% gained 2%. Analysts warned that initial enthusiasm for the U.S.-Mexico deal is unlikely to last since tougher negotiations likely loom ahead with China and other trading partners.
Hong Kong stocks added to Monday’s strong gains, with the Hang Seng HSI, +0.52% up 0.6% early after jumping 2.2% the previous session. Tech shares were among the best performers, with heavyweight Tencent 0700, +1.61% advancing 1.7% and Sunny Optical 2382, +2.75% rising 2.3%. Energy stocks were also strong, with coal company Shenhua 1088, +4.45% rebounding 3%
In China, the Shanghai Composite SHCOMP, +0.15% and Shenzhen Composite 399106, +0.11% were essentially flat in early trading after Monday’s 2%-plus jump after the People’s Bank of China moved to shore up the yuan.
After meager gains Monday, South Korea’s Kospi SEU, +0.31% nudged up 0.5%, as Samsung 005930, +0.54% rose about the same amount. Benchmarks in Taiwan Y9999, +0.76% , Singapore STI, +0.99% , Malaysia FBMKLCI, +0.31% and Indonesia JAKIDX, +0.96% all posted solid gains.
Australia’s ASX 200 XJO, +0.63% was up 0.6% as vitamin maker Blackmores BKL, +9.17% shot up after posting positive earnings. New Zealand’s NSX-50 NZ50GR, +0.08% lagged, just fractionally in positive territory.
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