Australian shares advanced on Monday, shrugging off uncertainty over its inconclusive election outcome over the weekend, to join the continuing post-Brexit rally across Asia markets.
In Japan, the Nikkei 225 gathered 93.32 points, or 0.6%, to 15,775.80
In Hong Kong, the Hang Seng Index spiked 264.83 points, or 1.3%, to 21,059.20
Financials in Australia subsided, dragging on the benchmark index as major banking stocks fell, with Westpac shares closing down 1%.
The Australian federal election over the weekend failed to produce a clear winner, with no major parities gaining an outright majority, raising the prospect of prolonged political uncertainty.
The Reserve Bank of Australia (RBA) is due to meet Tuesday, with analysts largely expecting the central bank to stand pat on rates.
In the wake of the election outcome, the Australian dollar dropped as low as $0.7438 U.S., before recovering to around $0.7514 U.S.
Gold traded higher, with spot gold up 0.6% at $1,349.50 U.S. an ounce. Gold miners in the region received a boost, with shares of Newcrest closing up 4.8% and Evolution Mining higher by 8.5%.
In other currency market action, the yen traded at 102.66 against the U.S. dollar, with the Japanese currency strengthening after the pair touched levels as high as 103.39 on Friday.
CHINA
The Shanghai CSI 300 added 50.5 points, or 1.6%, to 3,204.70
On Monday before market open, the People's Bank of China guided the yuan marginally higher by setting the midpoint rate at 6.6472 against the U.S. dollar, compared with Friday's fix at 6.6496. China's central bank lets the yuan spot rate rise or fall a maximum of 2% against the dollar, relative to the official fixing rate.
The yuan traded at 6.6629 against the dollar
In company news, shares of property developer China Vanke resumed trading after being suspended more than six months, since December 18. The company is embroiled in a high-profile power struggle, amid reports it rejected a shareholder call for an extraordinary general meeting aimed at ousting its board.
In other markets
In Korea, the Kospi increased 7.98 points, or 0.4%, to 1,995.30
In Singapore, the Straits Times Index strengthened 24.19 points, or 0.9%, to 2,870.56
In Taiwan, the Taiex index gained 22.34 points, or 0.3%, to 8,760.58
In New Zealand, the NZX 50 climbed 14.72 points, or 0.2%, to 6,940.95
The ASX 200 added 35.17 points, or 0.7%, to 5,281.78
