The stock markets in Asia woke up strong on Tuesday, capitalizing from Monday's global gains that saw the S&P 500 and Nasdaq log record closing highs after President Donald Trump announced a pending trade deal with Mexico, easing global trade-war worries.
In the land of the rising sun, Japan’s Nikkei NIK, +0.11% rose 0.7%, with exporters advancing as investors were more optimistic about U.S. trade policies. Their shippers, steel producers, and automakers were some 2% to 4% higher. Mitsui OSK Lines 9104, +2.23% jumped 3%, while Nippon Steel 5401, +0.57% rose 1% and Toyota 7203, +1.02% gained 2%.
Some analyst has warned that initial enthusiasm for the U.S.-Mexico deal is unlikely to last since tougher negotiations likely loom ahead with China and other trading partners. This left neighbor's Hong Kong stock gaining the high ground on Monday, like the Hang Seng HSI, +0.19% up 0.6% early after jumping 2.2% the previous session. Top performers came from the tech industry, with heavyweight Tencent 0700, +0.72% advancing 1.7% and Sunny Optical 2382, +1.93% rising 2.3%. Energy stocks were also strong, with coal company Shenhua 1088, +2.81% rebounding 3%
However, China was flat as the earth early trading after Monday’s 2%-plus jump after the People’s Bank of China moved to shore up the yuan. Leaving Shanghai Composite SHCOMP, -0.13% and Shenzhen Composite 399106, -0.07%.
Rest of Asia saw gains like South Korea’s Kospi SEU, +0.11% which nudged up 0.5%, as Samsung 005930, +0.32% rose about the same amount. Benchmarks in Taiwan Y9999, +0.66% , Singapore STI, +0.90% , Malaysia FBMKLCI, +0.51% and Indonesia JAKIDX, +0.96% all posted solid gains.
