Asian Markets Extend Gains as US Stocks Rebound, Yen Weakens
HONG KONG (AP) — Asian markets continued their upward trajectory on Tuesday as U.S. stocks made a comeback from last week’s losses, with the yen hitting fresh 34-year lows.
In Japan, the Nikkei 225 edged 0.1% higher despite the country’s manufacturing activity contracting for the 11th consecutive month. The yen weakened further, reaching a new low of 154.85 against the dollar.
In Hong Kong, the Hang Seng index rose 1.2% while the Shanghai Composite index was down 0.6%. Australia’s S&P/ASX 200 climbed 0.4% and South Korea’s Kospi dropped slightly.
On Wall Street, the S&P 500, Dow Jones Industrial Average, and Nasdaq composite all posted gains on Monday, with technology stocks leading the way. Nvidia and Alphabet saw significant gains, while Tesla announced more price cuts, leading to a 3.4% drop in its stock.
The week ahead is filled with earnings reports, with around 30% of S&P 500 companies set to announce their first-quarter results. Verizon Communications reported a drop in profit but managed to beat analysts’ expectations.
Investors are closely watching inflation data and interest rate decisions from the Federal Reserve, which has signaled a need to keep rates high to combat rising inflation. Oil prices also saw gains, with U.S. benchmark crude rising to $82.22 per barrel.
Overall, the market outlook remains positive, but uncertainties around inflation and interest rates continue to weigh on investor sentiment.
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