ASIA MARKETS: Asian Markets, Led By China, Bounce Back Strongly
By Dow Jones Newswire
Confidence returns after Wednesday's losses; Nikkei gains while yen hits 6-month low
A day after Asian stocks sank after the Trump administration announced $200 billion in new tariffs against Chinese goods, markets strongly rebounded in early trading Thursday, with investors around the region apparently gaining optimism from a 1%-plus bounce by Chinese indexes.
The Shanghai Composite closed up 2.1%, while the smaller-cap Shenzhen Composite was up 2.7%, largely making up Wednesday's losses. Hong Kong's Hang Seng Index rose 0.6%, with ZTE shares skyrocketing after the Chinese telecom was poised to resume doing business with U.S. suppliers. China's state-run shipper Cosco was up almost 1%.
Despite the yen hitting six-month lows against the dollar , domestic-driven stocks were leading the way in Japan, reflecting investors' caution about cyclical stocks. The Nikkei was up 1.1%, led by drug maker Eisai , while beverages firm Yakult Honsha and diaper maker Unicharm jumped as well. Energy stocks, however, skidded following oil's overnight slump. Explorer Inpex and distributor JXTG were both off more than 3%.
Australia's S&P/ASX 200 was up 0.8% despite the overnight slump in oil prices. Shares of Oil Search dropped early, but recovered as the trading day went on. Markets in Taiwan , Singapore and Malaysia also posted gains. New Zealand's NZX-50 was the only regional index in the red, down 0.1%.