FXEMPIRE
All
Ad
Corona Virus
Stay Safe, FollowGuidance
World
43,844,510Confirmed
1,165,459Deaths
32,213,751Recovered
Fetching Location Data…
Advertisement
Advertisement
James Hyerczyk
China Stock Market

The major Asia-Pacific stock indexes finished mostly higher on Monday with some scaling four-month peaks as investors bet heavily on a revival in Chinese activity to sustain global growth. MSCI’s broadcast index of Asia-Pacific shares outside Japan climbed 1.5% to its highest since February.

Even more impressive was a jump in Chinese blue chips which surged nearly 6.0%, on top of a 7% gain last week, to their loftiest level in five years.

Advertisement

On Monday, Japan’s Nikkei 225 Index settled at 22714.44, up 407.96 or +1.83%. Hong Kong’s Hang Seng Index finished at 26339.16, up 966.04 or +3.81% and South Korea’s KOSPI Index closed at 2187.93, up 35.52, up 1.65%.

In China, the Shanghai Index settled at 3332.88, up 180.07 or +5.71% and Australia’s S&P/ASX 200 Index finished at 6014.60, down 43.30 or -0.71%.

China’s Blue Chip Vault to 5-year High on Hopes of Economic Recovery, Policy Support

China stocks closed higher for a fifth straight session on Monday, extending a robust rally, led by financial shares on hopes of a quick economic recovery, Beijing’s continued reforms in the capital markets and ample liquidity, Reuters reported.

The blue-chip CSI300 index closed up 5.7% at 4,670.09 points, its highest value since June 25, 2015, while the Shanghai Composite Index climbed to its highest since March 2018. The CSI300 also posted its biggest one-day gain since February 25, 2019, while SSEC logged its best session since July 9, 2015.

“China has become a safe haven for investors now, as the recent coronavirus outbreak in Beijing helps investors realize the impact from a second wave of outbreak, if any, in the country would be very limited,” said Zhang Chengyu, vice general of Beijing-based Shiji Hongfan Asset Management Company.

“The rally now is just the beginning of a strong rising trend, and more money would pour into the A-share market,” Zhang added.

Advertisement

Hong Kong Stocks Track Mainland Gains, End at Over 4-Month High

Hong Kong shares closed at a more than four-month high on Monday, tracking equities in the mainland.

The Hang Seng Index rose 3.81%, while the China Enterprises Index gained 4.7%. The sub-index of the Hang Seng tracking energy shares rose 3.9%, while the IT sector rose 1.05%; the financial sector ended 4.85% higher and the property sector rose 4.21%.

Border Closures Hurt Share Market

The Australian stock market closed lower on Monday as state border closures with Victoria sparked fear of a second wave that could damage the country’s economic rebound.

Monday’s slight market slump comes off the back of a Deloitte Access Economics report, which flagged economic growth would contract by 3 percent in 2020 as a result of the COVID-19 shutdown.

Major bank shares made little movement throughout the day. The energy and material sectors also suffered declines. Additionally, refreshed lockdowns on travel also impacted the share price performance of Qantas.

For a look at all of today’s economic events, check out our economic calendar.
Don't miss a thing!
Discover what's moving the markets. Sign up for a daily update delivered to your inbox

Trade With A Regulated Broker

  • Your capital is at risk
IMPORTANT DISCLAIMERS
The content provided on the website includes general news and publications, our personal analysis and opinions, and contents provided by third parties, which are intended for educational and research purposes only. It does not constitute, and should not be read as, any recommendation or advice to take any action whatsoever, including to make any investment or buy any product. When making any financial decision, you should perform your own due diligence checks, apply your own discretion and consult your competent advisors. The content of the website is not personally directed to you, and we does not take into account your financial situation or needs.The information contained in this website is not necessarily provided in real-time nor is it necessarily accurate. Prices provided herein may be provided by market makers and not by exchanges.Any trading or other financial decision you make shall be at your full responsibility, and you must not rely on any information provided through the website. FX Empire does not provide any warranty regarding any of the information contained in the website, and shall bear no responsibility for any trading losses you might incur as a result of using any information contained in the website.The website may include advertisements and other promotional contents, and FX Empire may receive compensation from third parties in connection with the content. FX Empire does not endorse any third party or recommends using any third party's services, and does not assume responsibility for your use of any such third party's website or services.FX Empire and its employees, officers, subsidiaries and associates, are not liable nor shall they be held liable for any loss or damage resulting from your use of the website or reliance on the information provided on this website.
RISK DISCLAIMER
This website includes information about cryptocurrencies, contracts for difference (CFDs) and other financial instruments, and about brokers, exchanges and other entities trading in such instruments. Both cryptocurrencies and CFDs are complex instruments and come with a high risk of losing money. You should carefully consider whether you understand how these instruments work and whether you can afford to take the high risk of losing your money.FX Empire encourages you to perform your own research before making any investment decision, and to avoid investing in any financial instrument which you do not fully understand how it works and what are the risks involved.
FOLLOW US