Asian stocks rise after Biden, Xi hold video summit

Beijing: Asian stock markets rose Tuesday after President Joe Biden and China's Xi Jinping held a summit meeting by video link.

Shanghai, Tokyo and Hong Kong, which make up the bulk of the region's market value, advanced. Seoul and Sydney declined. Wall Street's benchmark S&P 500 index lost less than 0.1 per cent as makers of household goods rose and health care stocks fell. Biden told Xi their goal should be to ensure competition does not veer into conflict. The two leaders met amid tension over trade, technology, human rights, Hong Kong and Taiwan. Xi said he was ready to "build consensus" and said the two sides need to improve communication.

The meeting will dominate the session ahead, though White House officials have "tempered expectations for any meaningful progress," said Anderson Alves of ActivTrades in a report. The Shanghai Composite Index rose 0.3 per cent to 3,543.46 and Tokyo's Nikkei 225 added less than 0.1 per cent to 29,783.18. The Hang Seng in Hong Kong was 1 per cent higher at 25,658.04. The Kospi in Seoul lost 0.2 per cent to 2,994.40 while Sydney's S&P-ASX 200 shed 0.8 per cent to 7,413.20. India's Sensex opened down 0.3 per cent at 60,522.38. New Zealand and Singapore declined while Jakarta and Bangkok advanced.

On Wall Street, the S&P 500 declined to 4,682.80. The Dow Jones Industrial Average fell less than 0.1 per cent to 36,087.45. The Nasdaq lost less than 0.1 per cent to 15,853.85. Investors are shifting focus from the latest corporate profits to economic issues that will determine growth into 2022. That includes supply chain problems and rising inflation. Investors will be watching for any signs inflation is crimping business operations or consumer spending. Businesses have raised prices to pass along higher costs of materials.