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Asian markets follow Wall Street higher | Asian markets follow Wall Street higher |
(about 5 hours later) | |
Asian shares made gains on Wednesday, taking the positive lead from Wall Street where US consumer data lifted investors' confidence. | |
The Dow Jones and S&P 500 rose more than 1% after data showed retail sales grew in August for the second month. | The Dow Jones and S&P 500 rose more than 1% after data showed retail sales grew in August for the second month. |
However, investors remain cautious ahead of the decision by the US Federal Reserve on whether to raise rates for the first time in nearly a decade. | |
Japan's benchmark Nikkei 225 index ended up 0.8% at 18,171.60. | |
Bernard Aw, market strategist at trading firm IG, said the market was positioning itself for a rate rise this week. | |
"[Stock] futures indicated a higher implied probability of a rate move this Thursday," he said in a note on Wednesday. | "[Stock] futures indicated a higher implied probability of a rate move this Thursday," he said in a note on Wednesday. |
China recovers losses | China recovers losses |
Chinese shares traded higher, recovering some of the ground lost on Tuesday when the mainland benchmark index lost 3.5%. | |
The Shanghai Composite was up by 1.9% to 3,062.15, while Hong Kong's Hang Seng index gained 2.2% to 21,938.13. | |
Shares of China's largest brokerage, Citic Securities, fell as much as 4% after it said three executives, including its president, were under police investigation. | |
The executives are being investigated for suspected insider trading and "leaking" inside information. | |
In Australia, the S&P/ASX 200 index ended 1.6% higher at 5,098.90, also recovering from Tuesday's losses. | |
South Korean shares were up despite regional tensions growing. On Tuesday, North Korea said that its main nuclear complex was operating and that it was working to improve weapons that could be used against the US at any time. | |
However, the benchmark Kospi index finished 2% higher at 1,975.45. |