Global stocks buoyant on Wall St rally
Asian indices gained; Shanghai, Nikkei, Hang Seng, Kospi end on positive note; Dow Jones Industrial Average rose 1% and technology-heavy Nasdaq rose 1.4%
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Tokyo: Asian shares rose on Tuesday, although optimism set off by a rally on Wall Street was dampened by concerns over the potential impact of the Omicron variant of the Coronavirus. Japan's benchmark Nikkei 225 jumped 1.4 per cent to finish at 29,069.16. South Korea's Kospi gained 0.5 per cent to 3,015.63. Hong Kong's Hang Seng recouped early losses to edge up 0.2 per cent to 23,269.36, while the Shanghai Composite gained 0.4 per cent to 3,628.77.
Trading was closed in Australia for Boxing Day. Much of Asia has yet to see surges in infections of the omicron variant already playing out in other parts of the world, but experts are warning the region likely won't be spared. In Japan, which hasn't had such a wave of new cases so far, many areas are bustling with yearend shoppers, and events are being held with spectators, although most people are wearing masks.
New daily cases in Japan have totalled about 200 lately. There have been relatively few Covid-related deaths so far with some recent days having none. Still, analysts warned uncertainties lie ahead. "Record rallies are a tad too optimistic," said Vishnu Varathan of Mizuho Bank, pointing to huge numbers of omicron cases in Europe and the US.
Technology companies led US stocks broadly higher on Monday, extending the market's recent rally and nudging the S&P 500 to another all-time high. Wall Street kicked off the final week in a banner year for the stock market with mostly muted trading as investors returned from the Christmas holiday and several overseas markets remained closed.
The S&P 500 rose 1.4 per cent to 4,791.19, its fourth straight gain. The benchmark index, which capped a holiday-shortened week Thursday with a record high, is on pace to close out the year with a 27.6 per cent gain.
