Asia report: Markets rise after Wall Street's overnight bounce

Markets across the Asia-Pacific region reported generally positive results today, bolstered by strong performances in a number of sectors.

“Asian equities experienced marginal upticks on Tuesday - a prelude to a week marked by a flurry of critical economic indicators,” said SPI Asset Management managing partner Stephen Innes.

“Notably, the rally in Chinese shares continued for a second consecutive session, fueled by conjecture surrounding potential additional stimulus actions.

“The buoyancy in regional markets drew inspiration from Wall Street's positive performance.”

Innes noted that Monday saw US equities finish with gains, propelled by robust showings in the industrial and technology sectors - momentum which resonated in Asian trading, mainly propelled by advancements in technology stocks across the region.

“The preceding day's strength in Asian stocks had been accentuated by China's unveiling of strategic measures to bolster its embattled stock market.

“Presently, market participants remained attuned to any indications of further stimulus interventions in the largest economy within the region.

“This emphasis on stimulus arises from the challenges of mitigating decelerating growth, which has become a pressing concern.”

Markets gain across region amid strong sector performances

In Japan, the Nikkei 225 edged up by 0.18% to close at 32,226.97, while the broader Topix index posted a modest 0.16% gain, ending the session at 2,303.41.

Among the winning stocks on Tokyo’s benchmark, Tokyo Electric Power Co rose by 5.31%, Mitsui Engineering & Shipbuilding increased by 4.54%, and Nippon Sheet Glass Co saw a boost of 3.54%.

China's stock markets experienced robust growth, with the Shanghai Composite rising by 1.25% to 3,135.89 and the Shenzhen Component jumping a considerable 2.17% to 10,454.98.

Significant contributors to the rally in Shanghai were Guangzhou Fangbang Electronics Co and Beijing Worldia Diamond Tools Co, which surged by 11.5% and 10.89%, respectively.

Hong Kong's Hang Seng Index enjoyed an impressive hike, closing 1.95% higher at 18,484.03.

Real estate companies Country Garden Holdings and Country Garden Services led the way with gains of 12.35% and 9.88%, respectively.

Meanwhile, Semiconductor Manufacturing International Corporation also posted a healthy gain of 7.19%.

South Korea’s Kospi index ended the day up by 0.34% at 2,552.16.

Among the standout performers were Sebang Global Battery Co, which rose by 9.56%, and SD Biosensor, which saw a 7.95% gain.

Australia’s S&P/ASX 200 closed up by 0.71% at 7,210.50, as Johns Lyng Group and Mineral Resources stood out with substantial gains of 9.01% and 7.97%, respectively.

New Zealand’s S&P/NZX 50 ended the session with a 0.43% gain at 11,528.12.

Tourism Holdings led the pack, surging 12.39%, while Pacific Edge also recorded a modest gain of 3.09%.

In currency markets, the dollar was 0.02% stronger on the yen to trade at JPY 146.57.

The greenback meanwhile weakened against both the Aussie and the Kiwi, falling 0.26% to AUD 1.5514, and losing 0.25% to change hands at NZD 1.6876.

In commodities, both Brent crude and West Texas Intermediate futures experienced increases, with Brent last rising 0.68% on ICE to $84.99 per barrel, and the NYMEX WTI quote up 0.66% at $80.63.

Japan's unemployment rate surpasses expectations with slight increase

In economic news, Japan saw a slight uptick in its unemployment rate for the month of July, defying economists’ predictions.

The joblessness rate for July was recorded at 2.7%, compared to 2.5% in June, and exceeding the 2.5% unemployment rate that economists polled by Reuters had anticipated.

Moreover, the nation experienced a modest decline in its jobs-to-applicants ratio for the third consecutive month.

The ratio dipped to 1.29 in July from its June figure of 1.3.

That decrease also came as a surprise to analysts, who had forecast the ratio to hold steady.

Reporting by Josh White for Sharecast.com.