By Associated Press and Marketwatch
Asian markets were broadly higher on Monday as traders looked forward to the continuation of trade talks between Chinese and American officials in Washington this week.
South Korea’s Kospi /zigman2/quotes/210598069/delayed KR:180721 -0.49% jumped 0.7% and the Shanghai Composite index /zigman2/quotes/210598127/delayed CN:SHCOMP -0.15% rose 2.6%. Hong Kong’s Hang Seng /zigman2/quotes/210598030/delayed HK:HSI -1.29% was 1.6% higher. Australia’s S&P/ASX 200 /zigman2/quotes/210598100/delayed AU:XJO +1.40% added 0.4%.
Japan’s benchmark Nikkei 225 /zigman2/quotes/210597971/delayed JP:NIK +1.85% advanced 1.8%. The country said its core machinery orders dropped 0.1% in December from the previous month, beating forecasts of a 1.1% decline. Shares rose in Taiwan and throughout Southeast Asia.
Among individual stocks, Uniqlo owner Fast Retailing /zigman2/quotes/200663563/delayed JP:9983 +3.30% jumped in Tokyo trading, as did Bridgestone /zigman2/quotes/205589013/delayed JP:5108 +2.50% and Japan Steel /zigman2/quotes/207991538/delayed JP:5631 -0.06% . Oil producers CNOOC /zigman2/quotes/203421416/delayed HK:883 -1.91% and PetroChina /zigman2/quotes/204979431/delayed HK:857 -1.13% rose in Hong Kong, along with tech companies Sunny Optical /zigman2/quotes/206687505/delayed HK:2382 -2.85% and Tencent /zigman2/quotes/204605823/delayed HK:700 -2.95% . Samsung /zigman2/quotes/209800866/delayed KR:005930 +0.20% rose in Korea, as did Taiwan Semiconductor /zigman2/quotes/207385621/delayed TW:2330 -0.84% in Taiwan. Oil companies such as Woodside Petroleum /zigman2/quotes/203437212/delayed AU:WPL -2.38% , Beach Energy /zigman2/quotes/200513631/delayed AU:BPT -5.74% and Santos /zigman2/quotes/207349564/delayed AU:STO -3.02% jumped in Australia
After the markets closed on Friday, China and the U.S. announced plans to resume trade negotiations in Washington, fueling hopes that both countries were edging toward a deal.
“We feel we have made headway on very, very important and difficult issues,” U.S. Trade Representative Robert Lighthizer said, in a meeting with Chinese President Xi Jinping.
Xi expressed hope for “a mutually beneficial and win-win agreement,” according to the official Xinhua News Agency.
Negotiators had just wrapped up two days of talks in Beijing. Investors were worried about progress on thorny issues like Washington’s unhappiness over Chinese technology and trade policies.
A tariffs truce expires March 2 and will leave the U.S. free to more than double import taxes on $200 billion in Chinese goods. President Donald Trump has said he may hold off on these if the country was close to a deal with China.
Optimism surrounding U.S-China trade talks boosted indexes on Friday. The broad S&P 500 index /zigman2/quotes/210599714/realtime SPX +1.48% rebounded 1.1% to 2,775.60. The Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA +2.21% climbed 1.7% to 25,883.25 and the Nasdaq composite /zigman2/quotes/210598365/realtime COMP +0.77% rose 0.6% at 7,472.41. U.S. markets are closed Monday for Presidents Day.
U.S. crude added 35 cents to $55.93 per barrel in electronic trading on the New York Mercantile Exchange. It added $1.18 to settle at $55.59 per barrel in New York on Friday. Brent crude , used to price international oils, rose 24 cents to $66.50 per barrel. It picked up $1.68 to $66.25 per barrel in London.
The dollar /zigman2/quotes/210561789/realtime/sampled USDJPY +0.1133% strengthened to 110.57 yen from 110.48 yen late Friday.