Asia report: Most markets higher as investors shrug off trade worries

In Japan, the Nikkei 225 was ahead 0.15% at 22,304.51, as the yen weakened 0.26% against the dollar to last trade at JPY 110.78.

Tokyo’s bourse was led higher by pharmaceutical plays, along with a boost for major exporters thanks to the weaker yen.

On the mainland, the Shanghai Composite surged 2.2% to 2,848.31, and the smaller, technology-heavy Shenzhen Composite powered ahead by 3.26% to 1,607.62.

South Korea’s Kospi added 0.51% at 2,326.13, while the Hang Seng Index in Hong Kong was up 1.61% at 28,955.11.

The big technology stocks were joined by financial plays at the winning end of Seoul’s benchmark by the end of the day, while Hong Kong’s best sectors included information technology and consumer goods.

Sentiment was improved by measures announced by Beijing on Thursday, intended to lessen the restrictions on foreign capital investing in Chinese industries, including the financial sector.

Markets in the region have been depressed by an ongoing stand-off on trade between China and the US, instigated by Donald Trump’s apparent willingness to continue applying punitive tariffs - something market watchers were not expecting to dissipate anytime soon.

“The consequences of US monetary policy normalisation, moderately higher inflation and US-China trade tensions top our list of worries, but do not change our broadly optimistic view on world growth,” read a relatively rosy note from Standard Chartered global chief economist David Mann.

“We are mindful, however, that the combination of worsening trade outcomes, higher oil prices and a hawkish Fed may dent confidence further in 2018 and beyond.”

Oil prices were higher, with Brent crude last up 1.39% at $78.95, and West Texas Intermediate climbing 0.43% to $73.77.

In Australia, the S&P/ASX 200 turned 0.33% lower to close at 6,194.60, while across the Tasman Sea, New Zealand’s S&P/NZX 50 slipped 0.6% to finish at 8,943.13.

Both of the down under dollars were stronger on the greenback, with the Aussie last ahead 0.49% at AUD 1.3535, and the Kiwi advancing 0.08% to NZD 1.4791.