The Asia Pacific markets on Thursday closed higher, while investors are worried about an elevation in U.S.-China trade tensions abated.
Nikkei 225 increased 1.53 percent, or 325.87 points, to 21,645.42, closing above its moving average of 200-day.
The Topix gained 1.08 percent, despite broad-based gains. The Topix subindexes for banking, precision instruments, and real estate stocks were among the top-performers. However, steelmakers traded lower.
Meanwhile, Kospi tracked on 1.22 percent to finish at 2,437.52, pushed by the gains in the technology sector as Samsung Electronics increased 3.88 percent. The tech giant is due to release its first-quarter earnings guidance on Friday.
Shipbuilders also traded higher. Automakers, on the other hand, tumbled.
The S&P/ASX 200 in Australia edged up by 0.48 percent to close at 5,788.80, with its subindex increasing 1.07 percent. Amid its broader gains on the index, its material sectors fell 0.59 percent. Meanwhile, mining majors traded lower, with Rio Tinto slipping 1.19 percent.
In other part of the region, gains were also seen, with Straits Time Index in Singapore increased 2 percent. While MSCI’s broad index of shares in Asia Pacific excluding Japan last traded at 0.53 percent.
Moreover, the improved confidence among investors in the region was driven by the sharp gains posted by the U.S. stocks as concerns over growing trade tensions faded.
On Thursday, Taiwan, Hong Kong, and China markets are closed for the Ching Ming Festival.
U.S. and China in Talks of Trade Negotiation
Concerns about trade tensions ramped up after China announced plans for additional tariffs on 106 U.S. products. However, the worries faded after overtures were made regarding the two countries having a possible negotiation.
“The relief is that neither party has pulled the trigger on tariffs,” stated Vishnu Varathan, the head of economics and strategy at Mizhu Bank.
Meanwhile, investors are hopeful that talks between the two countries would averted the possible trade war. The ambassador of China to the U.S. stated that the negotiation remained China’s “preference” after his meeting with John Sullivan, the acting U.S. Secretary of State.
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