All Asian stock markets ended higher on Wednesday despite a muted opening after the late sell-off yesterday tracking the weakness in Dow Jones futures. Investors have taken heart from an easing in bond prices that has alleviated worries over possible interest rate hikes.
Hong Kong’s Hang Seng led the gains with rise of 784.56 points or 2.7%. Chinese stocks outperformed with Shanghai Composite ending 1.95% higher and Shenzhen closing with 1.23% gains. Taiwan also surged 1.66%.
The rise in bond yields coupled with changes in the Hong Kong index has seen relative under performance in China listed plays as markets adjust to the new norms.
Japanese Nikkei advanced 150 points on Wednesday before close. Korean Kospi ended 1.29% higher. SGX Nifty traded 1.46% higher. Australian ASX 200 gained 0.84% and market in New Zeland ended 0.12% higher. Markets in South East Asia also ended on a bullish note.
Overnight, US markets closed with losses as profit booking emerged across the board led by technology stocks. Bond yields fell to 1.39% even as US$ saw continued weakness trading near 90.35.
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