Asian stocks ended broadly higher on Thursday after the U.S. House of Representatives gave final approval to one of the largest economic stimulus measures in American history.
The landmark $1.9 trillion coronavirus relief package was passed by the House and will be signed by President Joe Biden this week, bringing the total spent on Covid relief to $5.5 trillion.
Chinese stocks led regional gains after official data showed that new bank lending in China fell less than expected in February from January.
Alleged state-backed buying also helped investors ignore ongoing tensions between Beijing and Washington over rights abuses in Hong Kong and China’s authoritarian approach towards Tibet and Taiwan.
The benchmark Shanghai Composite Index jumped 79.09 points, or 2.4 percent, to 3,436.83, while Hong Kong’s Hang Seng Index ended up 478.09 points, or 1.7 percent, at 29,385.61.
Japanese stocks rose as investors picked up growth-related companies on hopes for a stimulus-driven economic recovery. The benchmark Nikkei 225 Index climbed 175.08 points, or 0.6 percent, to 29,211.64, while the broader Topix closed 0.3 percent higher at 1,924.92.
Market heavyweight SoftBank Group advanced 1.7 percent and Uniqlo operator Fast Retailing rallied 3.4 percent.
Shipping firms outperformed, with Kawasaki Kisen surging 12.7 percent, while Nippon Yusen and Mitsui OSK rose over 7 percent each. Shinsei Bank jumped 5.5 percent after reports that the bank had acquired a 10 percent stake in Australian credit card and consumer finance company Latitude Financial Group.
Meanwhile, Australian markets hit a five-week low before ending a choppy session on a flat note. Banks ended broadly lower, while energy stocks ended on a mixed note.
Miners also turned in a mixed performance. BHP fell 1.7 percent, while Rio Tinto rose 1.1 percent and Fortescue Metals Group advanced 2.2 percent.
Gold miners Evolution and Newcrest rose about 2 percent to extend gains from the previous session. Tech stocks fell, with Afterpay losing 3.7 percent.
Travel and tourism stocks crept higher after the federal government announced a A$1.2 billion support package to revitalize the travel industry. Flight Centre Travel Group soared 9.2 percent, Webjet rallied 3.8 percent, Qantas Airways added 2.5 percent and Sydney Airport gained 2.2 per cent.
Seoul stocks rebounded as foreign investors turned buyers amid eased inflation concerns. The benchmark Kospi surged up 55.58 points, or 1.9 percent, to recover above the 3,000-point threshold after falling for five straight sessions.
Chemical, bio and tech stocks led the surge after their weeklong retreat. LG Chem surged 5.4 percent, Samsung Biologics climbed 4.4 percent and SK Hynix gained 3 percent.
New Zealand shares edged up slightly as travel-related stocks rallied after news of subsidies for Australian air travel. The benchmark NZX-50 Index rose 20.58 points, or 0.2 percent, to 12,272.48, while flag carrier Air New Zealand jumped 3.3 percent.
U.S. stocks closed mostly higher overnight as a benign reading on inflation and an auction of benchmark 10-year notes sent yields lower.
Sentiment was also boosted by reports suggesting the U.S. plans to order 100 million additional doses of Johnson & Johnson’s Covid-19 vaccine.
The Dow Jones Industrial Average rallied 1.5 percent and the S&P 500 rose 0.6 percent, while the tech-heavy Nasdaq Composite slid marginally after the previous session’s spike.
Business News
Asian Shares Rise On U.S. Stimulus Cheer
2021-03-11 08:33:44
