Asian stocks rise after strong Wall Street week
BEIJING (AP) — Asian stock markets rose Monday following Wall Street’s strong week as traders looked ahead to data releases from China, Japan and the Eurozone.
KEEPING SCORE: The Shanghai Composite Index gained 0.1 percent to 3,396.94 and Seoul’s Kospi added 0.2 percent to 2,502.95. Japanese markets were closed for a holiday. Hong Kong’s Hang Seng shed 0.1 percent to 30,790.06. Sydney’s S&P-ASX 200 advanced 0.1 percent to 6,130.70 and benchmarks in Taiwan and Southeast Asia also rose. New Zealand retreated.
WALL STREET: Stocks rose for a fourth day, led by tech companies after a solid monthly jobs report. U.S. markets are on their longest new-year winning streak in eight years. The Standard & Poor’s 500 index gained 0.7 percent to 2,743.15. The Dow Jones industrial average added 0.9 percent to 25,295.87. The Nasdaq composite rose 0.8 percent to 7,136.56.
WEEK AHEAD: India reports trade on Wednesday, with forecasters expecting solid gains, while China reports a flurry of data including inflation and bank loan growth. The Eurozone reports factory output growth on Thursday. On Friday, China is due to release December trade, with forecasters expecting a double-digit increase following a weak 2017, while the United States reports monthly inflation.
ANALYST’S TAKE: “This is a big week of event risk,” said Chris Weston of IG in a report, emerging markets trade and U.S. inflation. Weston said investors also are looking forward to U.S. earnings later this week, but the picture is “a little more challenging” as companies bring forward charges for repatriating cash under Washington’s tax changes. “This reporting season could be a catalyst, but it does promise to be somewhat messier than prior quarters, not to mention sentiment towards U.S. equities is already sky high.”
U.S. JOBS: The Labor Department said employers added 148,000 jobs in December. That was a bit less than experts expected, but still underscored the continued health of the economy. Wages grew and factory managers received more new orders than in any month since 2004. “This is still fairly impressive in the context of a low unemployment rate,” said Mizuho Bank in a report.
ENERGY: Benchmark U.S. crude gained 15 cents to $61.59 per barrel in electronic trading on the New York Mercantile Exchange. The contract fell 57 cents on Friday to close at $67.62. Brent crude, used to price international oils, advanced 11 cents to $67.73 in London. It lose 45 cents the previous session to $67.62.
CURRENCY: The dollar gained to 113.13 yen from Friday’s 113.07 yen. The euro held steady at $1.2032.