Asian markets gain after Wall Street snaps losing streak
Asian markets rose in early trading Thursday after Wall Street snapped a three-day losing streak.
Japan’s Nikkei 225
NIK,
advanced 0.8% while Hong Kong’s Hang Seng index
HSI,
inched up 0.1%. The Shanghai Composite
SHCOMP,
rose 0.3% while the smaller-cap Shenzhen Composite
399106,
fell 0.6%. South Korea’s Kospi
180721,
gained 0.8% while benchmark indexes in Taiwan
Y9999,
and Singapore
STI,
were mixed. Indonesian stocks
JAKIDX,
tumbled 5%, while Australia’s S&P/ASX 200
XJO,
rose 0.4%.
Traders also awaited word from the European Central Bank, which was expected later in the day to keep its monetary policy unchanged.
On Wednesday, U.S. stocks booked sharp gains after three straight days of losses. The Dow Jones Industrial Average
DJIA,
rose 439.58 points, or 1.6%, to close at 27,940.47, while the S&P 500
SPX,
closed at 3,398.96, an increase of 67.12 points, or 2%. The Nasdaq
COMP,
jumped 293.87 points, 2.7%, to finish at 11,141.56, while booking its best daily percent gain since April 29, according to Dow Jones Market Data.
“The rebound rally might suggest that investors remain confident about the economic prospects where a virus vaccine still provides a pillar of support, albeit with some dents in the armor,” wrote Stephen Innes, chief global markets strategist at AxiCorp, in a note. “But ultimately, they remain codified around the Federal Reserve Boards’ redoubtable policy support.”
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