Asian stocks rise af­ter gains in Europe

Daily Mirror (Sri Lanka) - - FOREIGN -

(Hong Kong) AFP: Asian mar­kets largely pushed higher yes­ter­day, fol­low­ing up on a pos­i­tive per­for­mance by Euro­pean shares overnight as in­vestors breathed a sigh of re­lief over pop­ulists’ fail­ure to take over the Euro­pean par­lia­ment af­ter week­end elec­tions.

Although vot­ers shifted al­le­giances in the EU elec­tions on Sun­day, the above-av­er­age turnout did not trans­late to a pop­ulist surge, as main­stream par­ties man­aged to re­tain con­trol of the par­lia­ment.

The gains in Europe prompted a solid open­ing for Tokyo, with US Pres­i­dent Don­ald Trump tak­ing a softer ap­proach in Wash­ing­ton’s trade dis­pute with Ja­pan as he wrapped up his visit to the Asian ally.“to­day’s Tokyo mar­ket is ex­pected to re­main well sup­ported,” Okasan On­line Se­cu­ri­ties said in a com­men­tary.

“His visit to Ja­pan is seen as boost­ing Prime Min­is­ter (Shinzo) Abe’s sup­port, which is pos­i­tive for the mar­ket.” Mar­kets also en­joyed a boost on the back of a Bloomberg News re­port that Chi­nese e-com­merce gi­ant Alibaba was look­ing to raise US$20 bil­lion through a sec­ond list­ing in Hong Kong later this year af­ter its record­break­ing de­but in New York in 2014.

The re­port comes as a trade row be­tween Wash­ing­ton and Bei­jing es­ca­lates -- with no date set for tar­iff ne­go­ti­a­tions to re­sume and could be a harbinger of a new chap­ter for Chi­nese busi­ness.

“Ex­cit­ing news for Hong Kong and per­haps a sign of things to come as Chi­nese com­pa­nies look lo­cally to raise funds in­stead of an un­wel­com­ing and sus­pi­cious US,” said OANDA se­nior mar­ket an­a­lyst Jef­frey Hal­ley.

Tokyo and Hong Kong closed 0.4 per­cent higher, while Shanghai gained 0.6 per­cent. Seoul also inched up 0.2 per­cent but Singapore lost 0.1 per­cent.

In early Euro­pean trade, Lon­don and Frank­furt rose 0.2 per­cent, while Paris added 0.1 per­cent.

Trad­ing in oil saw mod­est rises af­ter prices plunged last week fol­low­ing a sur­prise in­crease in US crude and gaso­line in­ven­to­ries.

An­a­lysts said prices would likely ex­tend a come­back de­spite jit­ters over the Us-china trade war dis­cour­ag­ing fu­ture de­mand.

“With the sum­mer driv­ing sea­son be­gin­ning in the US, de­mand is ex­pected to pick up and with hur­ri­cane sea­son ex­pected to be near-nor­mal, oil prices should see some sup­port shortly,” said OANDA se­nior mar­ket an­a­lyst Ed­ward Moya.

Newspapers in English

Newspapers from Sri Lanka

© PressReader. All rights reserved.