Asian stocks were mostly up Tuesday after U.S. stock indexes moved solidly higher, recovering some of last week’s steep declines.
The Shanghai Composite index was up 1.5 percent at 2,982.0. Hong Kong’s Hang Seng shed 1.2 percent to 20,815.15. Australia’s S&P/ASX 200 rose 0.7 percent to 5,282.40. South Korea’s KOSPI gained 0.4 percent to 1,986.46. Japan’s stock market is closed for the Golden Week holidays. Southeast Asian markets were mostly higher.
U.S. stock indexes moved solidly higher Monday afternoon, recovering some of last week’s steep declines. Recently battered technology stocks such as Amazon.com and Microsoft all posted gains, helping end a seven-day losing streak in the Nasdaq composite. The Dow Jones industrial average rose 117.52 points, or 0.7 percent, to 17,891.16. The Standard & Poor’s 500 index added 16.13 points, or 0.8 percent, to 2,081.43 and the Nasdaq rose 42.24 points, or 0.9 percent, to 4,817.59.
The Japanese stock market will be closed for holidays until Thursday, and “futures indicate positive trading elsewhere in Asia this morning, perhaps following the U.S. lead,” said Alex Fuber, senior client services executive at CMC Markets in Singapore. “The Aussie (dollar) will be in focus today with all eyes on the (Reserve Bank of Australia) rate announcement this afternoon.”
Chinese manufacturing activity weakened further in April despite government stimuli, a survey showed Tuesday, indicating the economy has yet to rebound from a downturn. The Caixin magazine purchasing managers’ index declined to 49.4 from March’s 49.7 on a 100-point scale on which numbers below 50 show activity contracting. It said conditions have worsened in each of the past 14 months. Beijing has tried to shore up slowing economic growth by boosting spending on public works projects, expanding credit and easing policies on real estate to encourage purchases. Some indicators improved in March but analysts warned that was unlikely to last.
Benchmark U.S. crude oil rose 34 cents to $45.13 a barrel in electronic trading on the New York Mercantile Exchange. It fell $1.14 to close at $44.78 per barrel on Monday. Brent crude, the international standard, gained 37 cents to $46.20.
The euro rose to $1.1537 from $1.1525 on Monday. The dollar fell to 106.11 yen from 106.45 yen.