Asia-Pacific Markets Mostly Rise as Investors Monitor Chinese Developments
Asia-Pacific markets saw a mostly positive start to the week on Monday, with investors closely watching Chinese equities amid fresh government measures aimed at boosting domestic consumption.
China and Hong Kong
Mainland China’s CSI 300 index edged down 0.24%, closing at 3,996.79, while Hong Kong’s Hang Seng Index gained 0.77% in its final trading hour.
The Chinese government announced a “Special Action Plan to Boost Consumption” on Sunday, aiming to increase incomes and stabilize the stock and real estate markets. The plan also includes measures to raise the country’s birth rate in an effort to support long-term economic growth.
China’s latest economic data showed a 4.0% increase in retail sales for January and February compared to the previous year, aligning with market expectations. Urban investment also exceeded forecasts, rising 4.1% year-on-year in the same period.
Japan and Bond Yields
Japan’s Nikkei 225 climbed 0.93% to close at 37,396.52, while the broader Topix index rose 1.19% to 2,748.12.
Meanwhile, Japanese Government Bond (JGB) yields hit new highs, with 40-year JGB yields reaching a record 3.007%, a seven-basis-point increase. 30-year JGB yields also rose slightly to a 19-year high of 2.635%. Investors are awaiting the Bank of Japan’s upcoming decision on interest rates later this week.
South Korea, India, and Australia
South Korea’s Kospi index surged 1.73% to 2,610.69, while the small-cap Kosdaq rose 1.26% to 743.51.
In India, the Nifty 50 was up 0.35%, while the BSE Sensex rose 0.26% as of 1:20 p.m. local time. India’s wholesale inflation also increased slightly to 2.38% in February, compared to 2.31% in January.
Australia’s S&P/ASX 200 finished 0.83% higher at 7,854.10, reflecting overall market optimism.
Beyond Asia, US equity futures declined following last week’s negative performance, driven by renewed tariff threats from former President Donald Trump. However, Wall Street saw strong gains on Friday, with the Dow Jones Industrial Average rising 1.65%, the S&P 500 up 2.13%, and the Nasdaq Composite climbing 2.61%.
CNBC, the Financial Times, and Bloomberg contributed to this report.
