Asian markets rallied Tuesday as banks and commodity-linked stocks climbed on positive cues from U.S. equities, although Japanese shares gave back a bulk of their early gains after the nation’s central bank didn’t loosen its monetary policy further.
In Japan, the Nikkei 225 Index regained 9.88 points, or 0.1%, to 9,899.08.
Gains narrowed after the Bank of Japan left its policy rate unchanged and didn’t announce a further expansion to its asset purchase program, although the central bank expanded a low-cost loan program to help stimulate the economy.
In Hong Kong, the Hang Seng Index leaped 205.52 points, or 1%, to 21,339.70
Several exporters pared gains or ended lower, with Canon Inc. dropping 0.7% and Sony Corp. losing 0.8%.
Among those that retained their gains, heavyweight Fast Retailing Co. climbed 1.1%, while Fanuc Corp. added 0.8%.
Shares in Asahi Kasei Corp. tumbled 5.4% on plans to buy U.S. medical equipment maker Zoll Medical Corp. for $2.2 billion U.S.
The broad strength in Asia came after U.S. stocks extended gains into a fourth session ahead of an interest-rate decision from the U.S. Federal Reserve. Dow Jones Industrial Average futures were up 46 points at 12,943, indicating a likely positive opening Tuesday.
While markets were looking forward to the Federal Open Market Committee’s policy decision, some analysts pointed out that the recent recovery in U.S. economic indicators may yield mixed results
Financials were among the region’s gainers. HSBC Holdings PLC climbed 1.4% in Hong Kong, Mitsubishi UFJ Financial Group Inc. rose 0.7% in Tokyo, Australia & New Zealand Banking Group Ltd. edged 1.7% higher in Sydney and Hana Financial Group Inc. jumped 3.4% in Seoul.
Steelmakers were notable advancers across Asia. Tokyo-listed JFE Holdings Inc. added 0.4% in Seoul and Bluescope Steel Ltd. climbed 1.3% in Sydney.
In Sydney, major miners headed higher, with BHP Billiton Ltd. climbing 1.3% and Rio Tinto Ltd. rising 1%.
Airlines were also gaining ground in Sydney, with Qantas Airways Ltd. and Virgin Australia Holdings Ltd. trading up 4.5% and 3.4% respectively, after both firms were upgraded to outperform by Macquarie.
In other markets;
The Shanghai CSI 300 added 26.67 points, or 1%, to 2,681.07
Korea’s Kospi Index tacked on 22.54 points, or 1.1%, to 2,025.04
The Taiex index in Taiwan zoomed 103.96 points, or 1.3%, to 8,031.51
Singapore’s Straits Times Index marched ahead 26.89 points, or 0.9%, to 2,989.07
New Zealand’s NZX 50 Index gained 18.45 points, or 0.5%, to 3,470.81
Australia’s S&P/ASX 200 Index progressed 50.93 points, or 0.4%, to 4,196.69
