Asia report: Stocks finish higher as investors watch Trump's health

Markets were higher in Asia on Monday, as investors kept an eye on the US president’s health as he remained in hospital with Covid-19.

In Japan, the Nikkei 225 was up 1.23% at 23,312.14, as the yen weakened 0.33% against the dollar to last trade at JPY 105.64.

Of the major components on the benchmark index, automation specialist Fanuc was up 0.69%, fashion firm Fast Retailing added 0.44%, and technology conglomerate SoftBank Group jumped 3.48%.

The broader Topix index was 1.74% firmer by the end of trading in Tokyo, closing at 1,637.25.

Stocks in China remained closed for the ongoing spring holiday, having last traded on 30 September,

South Korea’s Kospi was ahead 1.29% at 2,358.00, while the Hang Seng Index in Hong Kong was 1.32% firmer at 23,767.78.

The blue-chip technology stocks were mixed in Seoul, with Samsung Electronics rising 0.86%, while chipmaker SK Hynix was off 0.95%.

US president Donald Trump remained in hospital during the Asian day, after he tested positive for Covid-19 earlier in the week.

Over the weekend, it was confirmed he was being treated with the steroid dexamethasone, which is usually recommended for serious cases of the coronavirus.

At the same time, Dr Sean Conley said his condition had improved, and suggested he could be discharged on Monday, local time.

“Regardless of its accuracy, word that Donald Trump is ‘improving’, and could be back in the White House this Monday, allowed the markets to rebound as the session got underway,” said Spreadex analyst Connor Campbell.

“It’s hard to ascertain what state the president is actually in, given his history of misinformation and obfuscation on every topic, but especially his own health.

“Nevertheless, another video message on Sunday afternoon, and an irresponsible drive-by appearance to wave at ‘MAGA’ fans outside the Walter Reed medical center, seems to have backed-up the shaky idea that Trump is doing better.”

Oil prices were higher at the end of the Asian day, with Brent crude last up 3.51% at $40.65 per barrel, and West Texas Intermediate adding 3.97% to $38.52.

In Australia, the S&P/ASX 200 was up 2.59% by end-of-play in Sydney, settling at 5,941.60, as oil plays rose on the back of the higher oil price.

Beach Energy was up 5.6%, while Santos added 4.71%.

Across the Tasman Sea, New Zealand’s S&P/NZX 50 was 0.64% higher at 11,898.26, as dairy giant Fonterra managed gains of 0.25%.

The farmers’ cooperative announced plans to sell its farms in China earlier in the session.

Both of the down under dollars were stronger on the greenback, with the Aussie last ahead 0.24% at AUD 1.3931, and the Kiwi advancing 0.12% to NZD 1.5048.