Stocks Ahead on Trade Truce

Stocks in Asia saw gains on Monday after Presidents Donald Trump and Xi Jinping agreed to a temporary trade truce between the United States and China.

The Nikkei 225 leaped 233.2 points, or 1%, to 22,574.76, and the Japanese yen, widely seen as a safe-haven currency, was at 113.50 against the dollar after touching highs around the 112.9 handle in the previous trading week.

In Hong Kong, the Hang Seng Index hiked 675.29 points, or 2.6%, to 27,182.04

Australian markets vastly improved, with almost all sectors in positive territory. Shares of major miners saw strong gains: Rio Tinto advanced 2.3%, Fortescue Metals Group surged 4.3%, while BHP Billiton gained 3.7%

The Australian dollar traded at $0.7375 U.S. after hitting lows around $0.72 last week.


In Shanghai, the CSI 300 gained 88.26 points, or 2.8%, to 3,260.95

The moves came following a new reading on economic activity in China, the Caixin Manufacturing Purchasing Managers' Index, which showed factory activity grew slightly in November compared to the previous month.

The Caixin/Markit Manufacturing Purchasing Managers' Index for November rose to 50.2 from 50.1 in October. Economists had forecast a reading of 50.0, the level that separates expansion from contraction.

Also, Chinese President Xi Jinping and U.S. President Donald Trump agreed to a momentary pause on escalating the ongoing trade war between the two economic powerhouses.

In other markets

In Taiwan, the Taiex index powered up 249.84 points, or 2.5%, to 10,137.87

In Korea, the Kospi index popped 35.07 points, or 1.7%, at 2,131.93

In Singapore, the Straits Times Index picked up 73.01 points, or 2.3%, to 3,190.62

In New Zealand, the NZX 50 added 52.55 points, or 0.6%, to 8,876.09

In Australia, the ASX 200 thundered ahead 104.01 points, or 1.8%, to 5,771.16