View of pedestrian and vehicle traffic in Sham Shui Po shopping district in Hong Kong, May 1986. (Photo by Forrest Anderson/Getty Images)
Forrest Anderson | The Chronicle Collection | Getty Images
Asia markets climbed Monday, led by Hong Kong, after Federal Reserve Chair Jerome Powell signaled that the central bank could begin easing monetary policy next month in his widely anticipated annual speech in Jackson Hole, Wyoming.
Hong Kong’s Hang Seng Index surged 2.11% to come within range of a four-year high. Gains were led by Chinese property developer which rose 8.21%, which jumped 6.01% and which gained 5.94%.
The tech sector was among the key contributors to the HSI’s gains. The Hang Seng Tech index rose 3.11%, with strong moves seen in Nio, which gained 14.73% and semiconductor and electronics manufacturer ASMPT, which added 6.74%.
Mainland China’s CSI 300 extended its gains for the fourth consecutive session, climbing 1.39% and reaching a 37-month high earlier in the day.
“A popular view is that maturing time deposits could shift into equities and sustain the momentum, given deposit rates have declined notably,” analysts at Goldman Sachs wrote in a Sunday note. “Some also see potential inflows if Fed rate cuts trigger capital rotation from the US to China, and note bond-to-equity rotation as a key driver of recent equity market gains.”
Strong gains were also seen in Taiwan’s Taiex index, which advanced 2.47%.
Over in South Korea, the Kospi index increased by 1.14%, while the small-cap Kosdaq advanced 1.92%.
In Japan, the Nikkei 225 benchmark rose 0.27%, while the broader Topix index ticked up 0.1%.
Australia’s S&P/ASX 200 benchmark added 0.22%, after crossing the 9,000 threshold earlier in the session.
Over in India, the benchmark Nifty 50 added 0.35%, while the BSE Sensex index moved up 0.23%.
Elsewhere in the Asia-Pacific, market watchers are awaiting Singapore’s consumer price index reading for July. Economists polled by Reuters expect a 0.6% rise year over year, consistent with the month before.
U.S. equity futures traded close to the flatline as investors await artificial intelligence darling Nvidia‘s earnings.
Last Friday, the blue-chip Dow soared 846.24 points, or 1.89%, to a record level of 45,631.74.
Meanwhile, the broad market S&P 500 rose 1.52% to 6,466.91, while its session high was just three points shy of its record. The tech-heavy Nasdaq Composite gained 1.88%, ending the session at 21,496.53.
— CNBC’s Tanaya Macheel contributed to this report.
