Bulletin
Investor Alert

Associated Press Archives | Email alerts

Jan. 12, 2021, 1:07 a.m. EST

Hope for new U.S. stimulus upon Biden inauguration cited as Asian stocks rise

new
Watchlist Relevance
LEARN MORE

Want to see how this story relates to your watchlist?

Just add items to create a watchlist now:

  • X
    Shanghai Composite Index (SHCOMP)
  • X
    NIKKEI 225 Index (NIK)

or Cancel Already have a watchlist? Log In

Associated Press

BEIJING (AP) — Asian stocks advanced Tuesday as investors watched for details of President-elect Joe Biden’s promised economic stimulus plan.

Shanghai, Tokyo and Hong Kong were higher. Seoul declined while Sydney swung between gains and losses.

Overnight, Wall Street declined following a string of record-setting gains.

Investors were encouraged by U.S. election results that showed Biden’s Democratic Party will control the Senate, reducing potential opposition to his plans. Biden promised to announce details this week of the plan he will propose after he takes office Jan. 20.

“Investors found optimism in the prospect of further fiscal stimulus,” said Cesar Perez Ruiz of Pictet Wealth Management in a report. With the Senate in Democratic hands, “President-elect Biden has a better chance of pushing through his agenda and delivering sorely needed stimulus and support.”

No major potentially market-moving events were on the calendar Tuesday in Asia.

The Shanghai Composite Index /zigman2/quotes/210598127/delayed CN:SHCOMP +0.53% rose 0.8% to 3,559.86 and the Nikkei 225 in Tokyo /zigman2/quotes/210597971/delayed JP:NIK +0.85% added 0.1% to 28,178.56. The Hang Seng in Hong Kong /zigman2/quotes/210598030/delayed HK:HSI -0.13% gained 0.5% to 28,037.51.

Don’t miss: China’s overseas-listed stocks strong in 2021 kickoff, with domestic indexes notching 5-year highs

The Kospi in Seoul /zigman2/quotes/210598069/delayed KR:180721 -0.22% shed 2.9% to 3,056.42 while the S&P-ASX 200 in Sydney /zigman2/quotes/210598099/delayed AU:ASX10000 -0.10% was unchanged at midday at 6,697.40. New Zealand and Singapore retreated while Jakarta advanced.

Overnight, Wall Street’s benchmark S&P 500 index /zigman2/quotes/210599714/realtime SPX +1.06% declined 0.7% to 3,799.61, breaking a four-day streak of gains. The Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA +1.05% retreated 0.3% to 31,008.69. The Nasdaq Composite /zigman2/quotes/210598365/realtime COMP +0.90% slid 1.3% to 13,036.43.

U.S. markets shrugged off the attack on the Capitol in Washington by Trump supporters who were trying to block final confirmation of Biden’s victory.

“I believe stocks were looking ahead to better days, expecting a robust economic recovery once there is broad distribution of vaccines,” said Kristina Hooper of Invesco in a report.

The market’s record-setting run means stocks and other investments are even more expensive, leaving critics to say they’ve gone too high.

Stocks in the S&P 500 are trading at roughly 29 times their earnings, well above their average of 18 times over the past decade.

The gains come despite negative U.S. economic news. Employers cut more jobs last month than they added for the first time since the start of the pandemic last spring.

The United States and other countries also face potentially more contagious types of the coronavirus. That is prompting governments to reimpose restrictions that disrupt travel and commerce.

Democrats are pushing for the removal of Trump, who has less than two weeks left in his term, after he helped to incite loyalists who stormed the Capitol.

Shares of Twitter /zigman2/quotes/203180645/composite TWTR +2.25% slid 6.4% for one of the largest losses in the S&P 500 after it banned Trump from his account and his 89 million followers.

Twitter cited “the risk of further incitement of violence,” but the move has drawn a lot of anger from conservatives who may abandon the service and ask for more regulatory scrutiny of the company. Facebook fell 4% after it suspended Trump’s accounts.

In energy markets, benchmark U.S. crude lost 9 cents to $52.16 per barrel in electronic trading on the New York Mercantile Exchange. The contract rose 1 cent on Monday to $52.25. Brent crude , used to price international oils, shed 10 cents to $55.56 per barrel in London. It fell 33 cents the previous session to $55.66 a barrel.

The dollar rose to 104.30 yen /zigman2/quotes/210561789/realtime/sampled USDJPY +0.1481% from Monday’s 104.16. The euro /zigman2/quotes/210561242/realtime/sampled EURUSD +0.0671% fell to $1.2141 from $1.2163.

/zigman2/quotes/210598127/delayed
CN : China: Shanghai
3,405.43
+17.79 +0.53%
Volume: 35.77B
July 4, 2022 3:00p
loading...
/zigman2/quotes/210597971/delayed
JP : Nikkei
26,377.32
+223.51 +0.85%
Volume: 0.00
July 5, 2022 9:00a
loading...
/zigman2/quotes/210598030/delayed
HK : Hong Kong Exchange
21,830.35
-29.44 -0.13%
Volume: 2.20M
July 4, 2022 4:08p
loading...
/zigman2/quotes/210598069/delayed
KR : Korea Exchange
2,300.34
-5.08 -0.22%
Volume: 467,959
July 4, 2022 3:30p
loading...
/zigman2/quotes/210598099/delayed
add Add to watchlist AU:ASX10000
AU : S&P ASX
18.95
-0.02 -0.10%
Volume: 0.00
July 4, 2022 4:15p
loading...
/zigman2/quotes/210599714/realtime
US : S&P US
3,825.33
+39.95 +1.06%
Volume: 2.20B
July 1, 2022 5:45p
loading...
/zigman2/quotes/210598065/realtime
US : Dow Jones Global
31,097.26
+321.83 +1.05%
Volume: 313.35M
July 1, 2022 5:45p
loading...
/zigman2/quotes/210598365/realtime
US : Nasdaq
11,127.85
+99.11 +0.90%
Volume: 4.11M
July 1, 2022 5:16p
loading...
/zigman2/quotes/203180645/composite
US : U.S.: NYSE
$ 38.23
+0.84 +2.25%
Volume: 6.31M
July 1, 2022 4:05p
P/E Ratio
167.53
Dividend Yield
N/A
Market Cap
$29.22 billion
Rev. per Employee
$698,993
loading...
/zigman2/quotes/210561789/realtime/sampled
US : Tullett Prebon
135.8990
+0.2010 +0.1481%
Volume: 0.0000
July 4, 2022 8:20p
loading...
/zigman2/quotes/210561242/realtime/sampled
US : Tullett Prebon
1.0432
+0.0007 +0.0671%
Volume: 0.0000
July 4, 2022 8:20p
loading...

This Story has 0 Comments
Be the first to comment
More News In
Investing

Story Conversation

Commenting FAQs »

Partner Center

Link to MarketWatch's Slice.