Chinese shares rose by the most in two years Thursday to lead the Asia-Pacific region higher, while Japanese stocks advanced and the yen weakened after polls suggested that Prime Minister Shinzo Abe is headed for an election victory.
In Japan, the Nikkei 225 grew 166.78 points, or 0.9%, to 17,887.21, after hitting its highest close since July 2007 on Wednesday. The U.S. dollar traded as high as 119.97 yen, from ¥119.79 late Wednesday in New York. It was last at ¥119.92.
Japanese media surveys showed that Prime Minister Abe’s ruling Liberal Democratic Party is poised for a landslide victory in the Dec. 14 parliamentary elections, a result that would give him a mandate to pursue policies such as opening Japan’s agricultural markets.
The Nikkei has rallied on signs of Japanese political stability, although Abe’s longer-term economic agenda remains unclear.
In Hong Kong, the Hang Seng index rocketed 403.94 points, or 1.7%, to 23,832.56.
Chinese firms trading in Hong Kong were up 3.8%, ahead of the huge increase on the broader Hang Seng Index. Among the top performers on the Hang Seng China Enterprises index were Citic Securities Co up 11.5%, Sinopec up 7.6%, and China Shenhua Energy Co. up 7%.
In Australia, stocks gained even as a rebound in the energy sector slowed. The benchmark index has recovered 3% in the past three trading days as oil prices — which have slumped around 37% since their year high on June 20 — have recovered, a positive for oil-producing heavyweights in Australia.
CHINA
Shanghai’s CSI 300 index leaped 136.80 points, or 4.6%, to 3,104.35.
China shares have gained as retail investors piled in to take advantage of a recent rate cut by the central bank, while banks upgraded prospects for the Chinese markets in spite of a decelerating economy.
In other markets;
Singapore’s Straits Times Index inched up 1.43 points to 3,304.82
The Taiex index in Taiwan restored 49.85 points, or 0.5%, to 9,225.11
Korea’s Kospi index gained 16.70 points, or 0.9%, to 1,986.61
New Zealand’s Exchange 50 added 19.62 points, or 0.4%, to 5,522.68
Australia’s S&P/ASX 200 moved higher 46.98 points, or 0.9%, to 5,368.80.
