(Bloomberg) -- Asian stocks rose Monday, taking a break from the global rout that has gripped investors since late January, after U.S. stocks gained on Friday and S&P 500 Index futures surged in Asia trading hours. Japan is closed for a holiday today.
Equities are rebounding after falling as much as 10 percent from their record high on January 29. Investors pared positions amid rising U.S. bond yields, suggesting many remain wary of further increases in global interest rates and inflation.
The MSCI Asia Pacific excluding Japan Index advanced 0.6 percent to 557.62 as of 4:44 p.m. in Hong Kong after its biggest weekly fall since September 2011. Most equity benchmarks rose, with South Korea, China and India leading gains. Vietnam's main gauge surged the most in more than two years, while Australian stocks fell as an inquiry into the country's financial industry commenced.
“Markets have gone from overbought to oversold,” said Joshua Crabb, head of Asian equities at Old Mutual Global Investors AP Ltd.
Citigroup Inc. strategists led by Mark Schofield said in a report on Monday that its “too early to call an end to the bull market in equities." Growth should continue to underpin earnings, the note said.
Summary
- S&P/ASX 200 -0.3%, New Zealand's S&P/NZX 50 -0.4%
- Bank Misconduct Under Scrutiny as Australia Inquiry Starts
- Hang Seng Index +0.2%, Hang Seng China Enterprises Index little changed, Shanghai Composite Index +0.8%
- China's Small-Cap Gauge Rebounds After Two-Week Slide: Chart
- China Is Said to Call on Companies, Mutual Funds to Boost Stocks
- Kospi +0.9%, Kospi 200 +1.1%
- Taiex +0.5%
- Straits Times Index +0.3%, Malaysia's KLCI +0.7%, Jakarta Composite Index +0.3%, Thailand's SET index +0.3%, Philippine Stock Exchange PSEi Index -0.2%, Vietnam's VN-Index +3.8%
- VN Index Rises Most in More Than 2 Years; VinGroup Surges
- Sensex Index +0.7%, Nifty 50 +0.6%
- Indian Stocks Rebound, Tracking Global Peers; Tata Steel Climbs
- Fund Managers Tout Debt to India Bulls to Balance Stock Bets
To contact the reporter on this story: Abhishek Vishnoi in Singapore at avishnoi4@bloomberg.net.
To contact the editors responsible for this story: Divya Balji at dbalji1@bloomberg.net, Margo Towie
©2018 Bloomberg L.P.
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