Investing.com - Asian-Pacific shares were trading in positive territory during Monday's open, reflecting the positive close of U.S. stocks last week.
S&P/ASX 200 added 0.6%, the KOSPI 200 lifted 0.3% and the Nikkei 225 gained 1.2%.
The S&P 500 in the U.S. ended the holiday-shortened week with an additional increase, marking its first record close in over two years. The Dow Jones Industrial Average climbed 394 points or 1%, reaching a record of 37863. The S&P 500 and Nasdaq Composite also experienced gains, with all three major indexes currently in positive territory for 2024. Technology stocks, particularly chip shares buoyed by Taiwan Semiconductor's optimistic assessment, led the market recovery.
However, the economic news was a mixed bag. Existing home sales in 2023 dropped to a 28-year low, while the University of Michigan's consumer sentiment index rose 13% in the first half of January. In the commodities market, Brent crude oil prices fell 0.7% to US$78.56 per barrel, while gold saw a 0.3% increase to US$2,029.49.
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In local bond markets, the yield on Australian 2-year government bonds rose to 3.95%, and the 10-year yield increased to 4.29%. U.S. Treasury notes presented mixed results, with the 2-year yield rising to 4.38% and the 10-year yield decreasing to 4.12%.
In Asia, Chinese shares experienced a dip in a volatile trading session. Investor sentiment was dampened by media reports of a significant brokerage suspending short selling for some clients in mainland markets. Meanwhile, Hong Kong shares also closed lower, impacted by tech and pharmaceutical stocks. Japanese stocks, on the other hand, ended higher, led by gains in semiconductor and other electronics stocks as the yen hit a seven-week low. Indian shares ended higher, tracking the overnight gains on Wall Street.
European stocks experienced a dip in late trading as market expectations for early rate cuts by major central banks were adjusted. The Stoxx Europe 600 index eased 0.2%.
Germany's DAX showed little movement, while France's CAC-40 slid down by 0.4%. The FTSE 100 in the UK ended Friday with a slight rise of 0.04%, marking its third overall weekly decline since the start of the year. These fluctuations reflect the market's response to shifting expectations regarding monetary policy adjustments by central banks.