Asian markets were mostly positve on Monday, fueled by China’s efforts to support the yuan.
The People’s Bank of China tweaked the way it sets the currency’s official value each day, a move seen as an effort to curb both outflows from the stock market and as an olive branch in the continuing U.S.-China trade disputes.
The Shanghai Composite Index jumped to its highest close in nearly two weeks. The index closed up 1.9% at 2,780.90. Airlines and other consumer staples were among the day’s winners. The smaller Shenzhen Index rose 2.5% to 1,496.71.
In Hong Kong, the Hang Seng jumped 2.2% to 28,271.27, a two-week closing high. Energy shares shined, with Sinopec jumping 5.1% after its first-half results and PetroChina gaining 3.6%. Brilliance China Automotive Holdings popped 15%, the most in eight years, after first-half reports late Friday. Tech heavyweight Tencent rose 2%, turning positive for August.
The iron-and-steel sector led gains in Japan, helping push the Nikkei up 0.9% to 22,799.64 for its first five-day wining streak since April. Kobe Steel rose 1.4%, Sumitomo Metal climbed 1.6%and Aichi Steel firmed 1.1%. Toyota jumped 2%.
Korea’s Kospi added 0.3% following its best week since early March. Construction stocks were down sharply, with cement firm Busan skidding 10%.
New Zealand stocks rallied in the last two hours of trading, logging another record closing high amid strong gains elsewhere in the region. The NZX 50 rose 0.55% to 9,209.84, the fourth record in a week and ninth gain in 10 sessions.
Australia’s S&P ASX 200 added 0.35%, and benchmarks in Taiwan Singapore and Malaysia also ended higher.
