Asian stocks closed higher on Wednesday, with regional markets paring some of the sharp losses made in the previous session caused by elevated fears of a trade war between the U.S. and China.
In Japan, the Nikkei 225 regained 276.95 points, or 1.2%, to 22,555.43, Consumer and technology stocks rose, but materials and banks declined. Pharmaceutical stocks led gains on the day.
In currencies, the U.S. dollar firmed against the safe-haven yen at 110.22. The greenback had slipped below the 110 handle in the last session.
In Hong Kong, the Hang Seng was lifted 228.02 points, or 0.8%, to 29,696.17, with the services and consumer goods sectors contributing to gains before the market close.
ZTE shares traded in Hong Kong rose more than 14%, paring some of Tuesday's declines after the U.S. Senate passed a defense bill that targeted the Chinese telecommunication equipment maker.
The company on Wednesday clarified that the bill was not yet law as it had yet to be reconciled with a version passed by the U.S. House of Representatives. ZTE's Shenzhen-listed shares, however, were down 10% on Wednesday.
Korea also flexed muscle. Among index heavyweights, SK Hynix rose 4.4% and steelmaker Posco gained 0.7%.
Australian markets asserted themselves, too, with most of its sub-indexes in positive territory. Financials rose 2.3% as oil producers also notched firm gains.
In individual movers, shares of Australia's Telstra dropped 4.8% after the telco on Wednesday announced plans to reduce employee and contractor headcount by 8,000. The company also said it would create a standalone business unit, called Telstra InfraCo, that will include Telstra's fixed network infrastructure.
Even with Wednesday's gains, major Asian markets were still down on the week. China's benchmark equity index was down 3.8% this week while the Shenzhen composite was lower by more than 5% for the week. Japan's Nikkei 225 was down more than 2% in the week.
CHINA
In Shanghai, the CSI 300 gained 14.32 points, or 0.4%, to 3,635.44
Concerns over a looming trade war between the world's two largest economies continued to linger after U.S. President Donald Trump said on Monday that he had asked the U.S. Trade Representative to identify $200 billion in Chinese goods that could be subject to additional tariffs.
China said in response that it would take counter measures against the U.S. if the latter went ahead with issuing the list of extra tariffs.
In other markets
In Singapore, the Straits Times Index picked up 14.55 points, or 0.4%, to 3,315.90
The Taiex index re-strengthened 23.25 points, or 0.2%, to 10,927.44
In Korea, the Kospi index re-stocked 23.8 points, or 1%, to 2,363.91
In New Zealand, the NZX 50 climbed 42.56 points, or 0.5%, to 8,905.79
In Australia, the ASX 200 hiked 70.46 points, or 1.2%, to 6,172.58
