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Associated Press

April 26, 2022, 12:16 a.m. EDT

Asian markets advance following Wall Street’s rally

By Associated Press

Asian shares were mostly higher Tuesday after U.S. stocks stormed back from sharp losses to log strong gains.

In Tokyo, the Nikkei 225 (NIKKEI:JP:NIK) rose 0.7%, while the Kospi (KOREA:KR:180721) in Seoul gained 0.6%. Hong Kong’s Hang Seng (HONG:HK:HSI) gained 1.9% and the Shanghai Composite index (SHG:CN:SHCOMP) climbed 0.9%. After being closed for a holiday Monday, Australia’s S&P/ASX 200 (S&P:AU:XJO) sank 1.8. Stocks rose in Taiwan (TAIWAN:TW:Y9999) but declined in Singapore (SES:SG:STI) and Indonesia (INDONESIA:ID:JAKIDX) .

South Korea reported that its economy grew at a 3.1% annual pace in the first quarter of the year, up 0.7% from the previous quarter, suggesting a rebound from the travails of the pandemic.

The government has recently lifted most COVID restrictions as case numbers have abated after a wave of the omicron variant.

“This should drive a bounce back in downtrodden parts of the service sector. And a further drop in precautionary savings should provide an extra boost to consumption,” Alex Holmes of Capital Economics said in a commentary. “With private consumption still well below pre-pandemic levels, there is plenty of scope for a rebound,” he said.

The week started out on a downbeat note, particularly in China, over fears that  strict lockdown measures  there might further crimp the world’s second-largest economy, potentially hurting global economic growth.

China’s capital, Beijing, has begun mass testing of more than 3 million people and restricted residents in one part of the city to their compounds, sparking worries of a wider lockdown similar to Shanghai. That city has been locked down for more than two weeks and that has already prompted the International Monetary Fund to trim its growth forecast for China’s economy.

US. benchmark oil gained 60 cents to $99.14 per barrel in electronic trading on the New York Mercantile Exchange. It lost $3.53 to $98.54 on Monday.

Brent crude , the standard for pricing international oil, gained 77 cents to $102.93 per barrel.

The dollar (XTUP:USDJPY) slipped to 127.75 Japanese yen from 128.14 yen late Monday.

On Monday, the S&P 500 (S&P:SPX) climbed 0.6% to 4,296.12 after erasing an early 1.7% loss. The rally was led by stocks of internet-related companies, including Twitter (NYS:TWTR) , which jumped 5.7% after agreeing to let Tesla (NAS:TSLA) CEO and tweeter extraordinaire Elon Musk buy it.

The Dow Jones industrial Average (DOW:DJIA) rose 0.7% to 34,049.46, while the Nasdaq composite (NASDAQ:COMP) rallied 1.3% to 13,004.85.

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