Stocks in Asia rose on Thursday following positive developments overnight on a potential new treatment for COVID-19.
Japanese markets returned from holiday with a flourish, as the Nikkei 225 index towered 422.5 points, or 2.1%, over Tuesday’s close, to 20,193.49, as shares of robot maker Fanuc soared 5.6%.
The Japanese yen traded at 106.60 per U.S. dollar, stronger than levels above 107 seen earlier in the trading week.
Markets in Hong Kong and Korea were shuttered for holiday.
In corporate earnings, Singapore’s DBS Group posted a 29% plunge year-over-year in its first quarter net profit. The bank’s shares jumped more than 4% in afternoon trade on Thursday.
Investors watched for market reaction to developments overnight regarding the use of Gilead Sciences’ antiviral drug remdesivir as a potential new treatment for COVID-19 patients.
Gilead Sciences said Wednesday preliminary results of a coronavirus drug trial showed at least 50% of patients treated with a five-day dosage of remdesivir improved and more than half were discharged from the hospital within two weeks.
Globally, the coronavirus pandemic has infected more then 3.1 million and taken at least 226,771 lives, according to data compiled by Johns Hopkins University.
The Australian dollar was at $0.6554 following its rise from levels below $0.648 seen earlier this week.
CHINA
In Shanghai, the CSI 300 added 45.55 points, or 1.2%, to 3,912.58
On the economic data front, China said manufacturing activity in the country expanded slightly in April. The official manufacturing Purchasing Managers’ Index for April came in at 50.8, as compared to 52.0 in March. PMI readings above 50 signify expansion, while those below that mark indicate contraction. Analysts expected the official manufacturing PMI for April to come in at 51.0.
A subsequent private survey also released on Thursday, on the other hand, showed manufacturing activity in April contracting instead. The Caixin/Markit manufacturing PMI for April came in at 49.4, below expectations of a reading of 50.3 by analysts.
Economic data from China have been watched by investors for further clues as to whether the country’s economy is bouncing back after a dismal first quarter Gross Domestic Product print as the country battled the coronavirus outbreak.
In other markets
In Taiwan, the Taiex Index popped 219.92 points, or 2%, to 10,992.14
In Singapore, the Straits Times Index picked up 49.5 points, or 1.9%, to 2,624.23.
In New Zealand, the NZX 50 fell 134.12 points, or 1.3%, to 10,532.07.
In Australia, the ASX 200 climbed 128.93 points, or 2.4%, to 5,522.35.
