Asian equities began the trading week mostly higher on Monday, 5 October, as weaker-than-expected US employment figures eased concerns about another Federal Reserve interest rate increase. Japan led the advance, while holiday closures in mainland China and South Korea limited trading across the region.
Japanese technology stocks advance
Japan’s Nikkei 225 climbed approximately 2.5% during morning trading, reaching 70,037.61 and moving above 70,000 for the first time in three months.
Technology shares helped drive the rally. Semiconductor equipment supplier Tokyo Electron gained 5.5%, while SoftBank Group advanced 3.3%. Taiwan Semiconductor Manufacturing Company rose 2.6%, reflecting continued buying interest in businesses connected to artificial intelligence.
Elsewhere in the region, Australia’s S&P/ASX 200 was around 0.1% higher during the morning session. These figures represent intraday trading rather than closing levels.
Hong Kong misses the broader rally
Hong Kong’s Hang Seng struggled to follow Japan’s gains, slipping 0.08% by midday. Property companies and financial stocks weighed on the benchmark, although the Hang Seng Tech Index rose 0.3%.
Mainland Chinese markets remained closed for the National Day holiday and are scheduled to reopen on 8 October. Investors were monitoring holiday travel and retail spending for indications of consumer demand heading into the final quarter.
India opens on a firmer footing
Indian markets returned from Friday’s public holiday with gains. The Sensex opened 0.52% higher at 72,281.34, while the Nifty 50 rose 0.48% to 22,530.40.
Bajaj Finance and HDFC Bank were among the early leaders. However, the advance was uneven, with HCL Technologies and Tech Mahindra trading lower. The opening followed declines in both benchmark indices during India’s previous session on Thursday.
US interest rates remain in focus
The regional improvement followed Friday’s gains on Wall Street. US employers added 29,000 jobs in September, below expectations, while unemployment increased to 4.2% from 4.1%.
The figures reduced expectations of an October rate increase, supporting demand for equities. Nevertheless, elevated government bond yields and oil prices continued to complicate the outlook. Brent crude remained above $100 a barrel in early trading, leaving energy costs an important concern despite Monday’s more positive start.
Asian equities began the trading week mostly higher on Monday, 5 October, as weaker-than-expected US employment figures eased concerns about another Federal Reserve interest rate increase. Japan led the advance, while holiday closures in mainland China and South Korea limited trading across the region.
Recent Comments