(RTTNews) – Asian stock markets remained mostly higher on Thursday, following a broadly positive performance in global stock markets overnight. This reflects optimism that the US Federal Reserve will cut interest rates in September following the release of weaker-than-expected US economic data. The US dollar also weakened against most currencies in the region. Asian markets ended mostly higher on Wednesday.
Traders are also keeping an eye on Friday’s closely watched U.S. employment report for more clarity on the Fed’s interest rate outlook.
Australian shares rose sharply on Thursday, building on gains from the previous day’s session and riding on generally positive news from global markets overnight. The benchmark S&P/ASX 200 was trading above the 7,800 level, with most sectors rising, led by materials and technology stocks, on the back of rising commodity prices.
The benchmark S&P/ASX 200 index rose 80.70 points, or 1.04 percent, to 7,820.60 after earlier hitting a high of 7,827.30. The broader All Ordinaries index rose 81.90 points, or 1.03 percent, to 8,068.00. The Australian share market closed modestly higher on Wednesday.
Among major mining companies, Rio Tinto, Mineral Resources and BHP Group rose about 2 percent each, while Fortescue Metals rose more than 2 percent.
Oil stocks were mostly higher, with Woodside Energy up almost 1%, Origin Energy up 0.4%, Beach Energy up 2.5% and Santos up more than 4% after reports that Saudi Aramco and Abu Dhabi National Oil Co. were each considering a takeover bid for Santos.
In the technology sector, Afterpay’s parent company Block and Zero are down 0.3% each, while Appen is up more than 2%, Zip is surging nearly 7% and WiseTech Global is up nearly 1%.
Of the big four banks, Commonwealth Bank, ANZ and National Australia Bank each rose almost 1 percent, while Westpac rose 0.5 percent.
Among gold miners, Evolution Mining and Newmont are up more than 3% each, while Gold Road Resources and Northern Star Resources are up more than 1% each. Resolute Mining is up more than 2%.
In the foreign exchange market, the Australian dollar was trading at $0.671 on Thursday.
Japan’s stock market edged up on Thursday, following four previous gains and a largely positive overnight performance in global markets. The Nikkei average rose well above 40,600, with most sectors posting gains, led by the index’s major stocks and technology stocks.
The benchmark Nikkei Stock Average closed the morning session up 86.02 points, or 0.21 percent, at 40,666.78 after hitting a high of 40,861.35 the previous day. Japanese stocks ended broadly higher on Wednesday.
Market giant SoftBank Group is up more than 1%, while Uniqlo owner Fast Retailing is down nearly 1%. Among automakers, Toyota is up more than 1% and Honda is up more than 2%.
In the technology sector, Advantest rose about 2%, while Tokyo Electron and Screen Holdings also rose about 2% each.
In the banking sector, Sumitomo Mitsui Financial and Mizuho Financial each rose more than 1%, while Mitsubishi UFJ Financial also rose nearly 1%.
Among major exporters, Canon and Mitsubishi Electric are down about 1 percent each, while Sony and Panasonic are up 0.3-0.4 percent each.
Among other major gainers, Sumitomo Metal Mining surged more than 6%, Renesas Electronics and Yamaha Motor rose more than 4% each, Mitsui Mining and Mitsubishi Materials rose nearly 4% each, IHI, Kyowa Kirin and Mitsubishi Estate rose more than 3% each, and Sumitomo Realty & Development and Mazda rose nearly 3% each.
In contrast, Kawasaki Heavy Industries lost about 6 percent and Eisai was down about 3 percent.
In the foreign exchange market, the U.S. dollar was trading in the low 161 yen range on Thursday.
Elsewhere in Asia, Taiwan rose 1.3%, while Hong Kong, South Korea, Singapore and Indonesia were up 0.2-0.7% each. New Zealand and China each fell 0.2%. Malaysia was little changed. On Wall Street, stocks, which had been mostly higher at the start of the week, rose further during Wednesday’s trading session. As the gains continued, the Nasdaq and S&P 500 hit new all-time highs again in the shortened trading session.
The Nasdaq rose 159.54 points, or 0.9%, to 18,188.30 and the S&P 500 added 28.01 points, or 0.5%, but the Dow bucked the upward trend and fell 23.85 points, or 0.1%, to 39,308.00.
Meanwhile, major European markets also rose on the day, with the UK’s FTSE 100 index rising 0.6%, while Germany’s DAX and France’s CAC 40 indexes both rising 1.2%.
Oil prices rose on Wednesday after data showed U.S. crude inventories fell more than expected last week. A weaker dollar also supported oil prices. West Texas Intermediate crude oil futures for August delivery rose $1.07 to close at $83.88 a barrel.
The views and opinions expressed herein are the views and opinions of the author and do not necessarily reflect those of Nasdaq, Inc.
