Asian markets advanced in early trading Tuesday, after Wall Street hit new records and ahead of the U.S. Federal Reserve meeting.
Japan’s Nikkei 225 /zigman2/quotes/210597971/delayed JP:NIK -0.03% rose 0.6% and Hong Kong’s Hang Seng index /zigman2/quotes/210598030/delayed HK:HSI +0.36% gained 0.5%. The Shanghai Composite /zigman2/quotes/210598127/delayed CN:SHCOMP -0.58% inched 0.2% and the smaller-cap Shenzhen Composite /zigman2/quotes/210598015/delayed CN:399106 -0.60% advanced 0.4%. South Korea’s Kospi /zigman2/quotes/210598069/delayed KR:180721 +0.77% rose 0.5%. Australia’s S&P/ASX 200 /zigman2/quotes/210598100/delayed AU:XJO +0.13% jumped 1.3%, powered by bank stocks such as Commonwealth Bank /zigman2/quotes/200638713/delayed AU:CBA -0.48% and ANZ /zigman2/quotes/205482049/delayed AU:ANZ -1.53% . Stocks dipped in Singapore /zigman2/quotes/210597985/delayed SG:STI -0.14% after the government found uncertain labor market conditions , but benchmark indexes gained in Taiwan /zigman2/quotes/210597977/delayed TW:Y9999 +0.32% and Indonesia /zigman2/quotes/210597981/delayed ID:JAKIDX -0.20% .
“The $1.9 [trillion] stimulus package in the U.S. will lead to a stronger U.S. and global recovery, hence more exports for China, which continues to resonate through Asia risk sentiment as the global synchronized growth story looks more in sync than only one week ago,” Stephen Innes, chief global markets strategist at Axi, wrote in a note.
The Dow Jones Industrial Average /zigman2/quotes/210598065/realtime DJIA +0.04% and S&P 500 /zigman2/quotes/210599714/realtime SPX +0.19% each hit new highs Monday, while the Nasdaq Composite /zigman2/quotes/210598365/realtime COMP +0.35% rose more than 1% as investors welcomed the stimulus package signed last week by President Joe Biden and shook off six weeks of rising Treasury yields.
Fed Chairman Jerome Powell is expected to speak Wednesday after the Fed’s two-day meeting , with investors expecting an update on the Fed’s assessment of the economy.
Benchmark U.S. crude dipped to $64.86 per barrel in electronic trading on the New York Mercantile Exchange. Brent crude , the international standard for pricing, slipped to $68.30 per barrel.
The U.S. dollar /zigman2/quotes/210561789/realtime/sampled USDJPY +0.3238% was little changed at 109.17 Japanese yen.