Asian stocks rose broadly on Wednesday as investors clung to the possibility of new fiscal stimulus deal in the United States before its previous benefits expire by the end of the year.
Sentiment was also underpinned after U.S. regulators said that Moderna's vaccine is safe and effective for preventing Covid-19.
Chinese shares ended little changed after SMIC said it had become "aware" of co-CEO Mong Song Liang's "intention of conditional resignation."
Shares of the chipmaker fell as much as 5.5 percent ahead of its removal from MSCI indexes next month, while the benchmark Shanghai Composite index ended marginally lower at 3,366.98. Hong Kong's Hang Seng index rose 253 points, or 0.97 percent, to 26,460.29.
Japanese shares ended a tad higher, with Apple's suppliers rising on a Nikkei report that the tech giant plans to increase iPhone production by about 30 percent in the first half of 2021.
The Nikkei average inched up 69.56 points, or 0.26 percent, to 26,757.40, while the broader Topix index closed 0.27 percent higher at 1,786.83. Alps Alpine soared 7.1 percent and TDK Corp added 2.3 percent.
The manufacturing sector in Japan continued to contract in November, albeit at a slower pace, the latest survey from Jibun Bank revealed today with a PMI score of 49.7, up from 49.0 in the previous month.
Another report showed that Japan posted a merchandise trade surplus of 366.8 billion yen in November - well shy of expectations for a surplus of 529.8 billion yen and down sharply from 872.9 billion yen in October.
Australian markets rose notably, with gold miners and tech companies pacing the gainers on U.S. stimulus bets. Upbeat Australian manufacturing sector data also offered some support.
The benchmark S&P/ASX 200 index climbed 47.90 points, or 0.72 percent, to 6,679.20, while the broader All Ordinaries index ended up 50 points, or 0.73 percent, at 6,916.70.
Tech stocks followed their U.S. peers higher, with Afterpay surging 4.2 percent and Xero climbing 2.2 percent. The big four banks rose between 0.8 percent and 1.4 percent.
Gold miners Regis Resources, Evolution Mining and Northern Star Resources surged 2-4 percent after a strong rise in the price of the precious metal on growing hopes of further U.S. stimulus.
Mining heavyweights BHP and Rio Tinto rose about 2 percent as Dalian iron ore breached the 1,000-yuan mark after the release of strong manufacturing output data from China.
The latest survey from Markit Economics showed that the manufacturing sector in Australia expanded at a faster pace in December with a five-month high manufacturing PMI score of 56.0. The services PMI rose from 55.1 to 57.4.
Seoul stocks rebounded to snap a two-day losing streak amid hopes of a U.S. coronavirus stimulus deal and positive reports related to U.S. biotech company Moderna's Covid-19 vaccine candidate.
The benchmark Kospi inched up 14.97 points, or 0.54 percent, to 2,771.79. Leading chemical maker LG Chem rallied 2.3 percent and rechargeable battery maker Samsung SDI added 2.2 percent.
Health authorities have warned of first potential lockdown to curb the virus spread as South Korea reported another high in daily coronavirus increases.
New Zealand shares eked out modest gains, with the benchmark NZX-50 index paring early gains to end up 61.82 points, or 0.48 percent, at 12,828.99. Dual-listed banks and utilities were among the prominent gainers.
New Zealand had a seasonally adjusted current account deficit of 438 million in the third quarter of 2020 compared to the previous three months, Statistics New Zealand said today in a report.
U.S. stocks rose overnight as positive industrial production data, the rollout of Covid-19 vaccines and signs of progress in stimulus talks helped investors look past tightening lockdowns.
The S&P 500 climbed 1.3 percent to snap a four-day losing streak and the tech-heavy Nasdaq Composite surged 1.3 percent to hit a fresh record closing high, while the Dow Jones Industrial Average rose 1.1 percent.
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