Reuters
Asia-Pacific stocks added to their start-of-week rebound early Tuesday, following a 3% bounce on Wall Street, as worries about global trade fights eased.
Japan and South Korea SEU, +0.54% built on yesterday afternoon’s gains, while XJO, +0.71% nd New Zealand NZ50GR, +0.85% caught up after lagging Monday.
In Tokyo, the Nikkei NIK, +1.66% rose 1.8% on a continued pullback for the yen. Other indexes in the region started with advances of nearly 1%.
Investor apprehension about a potential trade war between the world’s two largest economies started to wane after The Wall Street Journal reported that China and the U.S. had started negotiating to improve American access to mainland markets.
In Tokyo, a key person involved in the Japanese government land-sale scandal is testifying before parliament, and former Ministry of Finance official Nobuhisa Sagawa said there was no direction from the prime minister’s office to alter documents.
Japanese stocks subsequently hit session highs.
Despite the upbeat optimism for stocks generally, some are wary about the rebound.
“There is no rush to get into the markets,” said Joanne Goh, a regional equity strategist at DBS Bank in Singapore. She highlighted pricy valuations despite volatility and price declines in many markets to start the year.