Asia report: Markets move higher on slew of positive news

Markets in Asia were in the green at the end of Tuesday, as investors reacted to a slew of positive developments from the US and Europe.

In Japan, the Nikkei 225 was up 1.79% at 21,503.69, as the yen weakened 0.01% against the dollar to last trade at JPY 111.22.

The broader Topix index was up 1.52% in Tokyo, settling at 1,605.48 at the close.

On the mainland, the Shanghai Composite was ahead 1.1% at 3,060.31, and the smaller, technology-heavy Shenzhen Composite added 1.67% to 1,695.80.

South Korea’s Kospi rose 0.89% to 2,157.18, while the Hang Seng Index in Hong Kong jumped 1.46% to 28,920.87.

It wasn’t all rosy in Hong Kong, however, with Meituan Dianping diving 11.12% after the online food delivery company reported a more-than-doubling of its fourth quarter operating loss.

Investors cheered a decent performance from Wall Street earlier in the Asian day, which came after US retail sales topped expectations for January.

Any positive movement in US markets would be seen as a good thing this week, after the major indices put in their worst week of the year so far last week.

“Markets will be looking for January’s lift to be sustained, with strength in the labour market and rising real wages expected to support consumption,” noted analysts at ANZ Research.

Positive developments were also welcomed out of Europe, with Theresa May claiming to have secured “legally binding” changes to her Brexit deal, before taking it to a vote in the House of Commons on Tuesday.

While a handful of MPs said they were now likely to support the deal, many remained sceptical of what changes May had managed to secure from Brussels, with the chances of her winning the vote on Tuesday remaining slim.

Oil prices were higher as the region went to bed, with Brent crude last up 0.49% at $66.91 per barrel, and West Texas Intermediate growing 0.91% to $57.31.

In Australia, Sydney’s benchmark was the odd one out, with the S&P/ASX 200 slipping 0.09% to 6,174.80, even as oil plays recovered from their poor performance on Monday.

Oil Search was up 0.51%, Santos added 2.79%, and Woodside Petroleum was ahead 1.12%.

Across the Tasman Sea, New Zealand’s S&P/NZX 50 managed gains of 0.1% to close at 9,397.25, led higher by subscription broadcaster Sky.

The company - no relation to its London-listed namesake - was recovering after its share price reached an all-time low on Monday.

Both of the down under dollars were stronger on the greenback, with the Aussie last ahead 0.23% at AUD 1.4111, and the Kiwi advancing 0.54% to NZD 1.4561.