Asian stocks rise on strong US earnings; BOJ stands pat

Published: October 31, 2018 11:37:36 | Updated: November 02, 2018 12:01:44

File Photo (Collected)

Asian share markets were mostly higher on Wednesday after big American companies reported strong earnings for the third quarter, soothing fears that rising interest rates may deter corporate investment.

Japan’s Nikkei 225 index jumped 1.8 per cent to 21,841.65 and the Shanghai Composite index added 1.1 per cent to 2,597.05. Hong Kong’s Hang Seng rose 0.6 per cent to 24,732.97.

Australia’s S&P-ASX 200 slipped 0.2 per cent to 5,795.04 and the Kospi in South Korea dropped 0.1 per cent to 2,012.11. Shares were higher in Taiwan and throughout Southeast Asia, reports AP.

Earnings reports lifted major benchmarks on Tuesday, as smaller and more US-focused companies including basic materials makers showed strong gains.

The S&P 500 index rallied 1.6 per cent to 2,682.63, a day after closing at a five-month low. The Dow Jones Industrial Average was 1.8 per cent higher at 24,874.64.

The Nasdaq composite advanced 1.6 per cent to 7,161.65. The Russell 2000 index of smaller-company stocks rebounded 2 per cent to 1,506.64.

Benchmark US crude added 25 cents to $66.43 per barrel in electronic trading on the New York Mercantile Exchange. The contract dropped 86 cents to settle at $66.18 a barrel in New York.

Brent crude, used to price international oils, gained 49 cents to $76.44 per barrel. In the previous session, it dropped $1.42 to $75.95 a barrel.

The dollar strengthened to 113.20 yen from 113.13 yen late Tuesday. The euro slipped to $1.1342 from $1.1343.

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