ArrowArtboardCreated with Sketch.Title ChevronTitle ChevronEye IconIcon FacebookIcon LinkedinIcon Mail ContactPath LayerIcon MailMenu BurgerPositive ArrowIcon PrintIcon SearchSite TitleTitle ChevronIcon Twitter
Nikkei Markets

Asian equities advance, powered by Chinese companies, Wall Street

Baidu jumps about 8% after earnings

HONG KONG (Nikkei Markets) -- Asian shares outside of Japan edged higher on Tuesday amid a rebound in Chinese companies and positive Wall Street cues.

The Nikkei Asia300 Index rose 0.1% to close at 1,234.14. An index of Chinese companies listed in Hong Kong, the Hang Seng China Enterprises Index, climbed 0.2% to more-than-two-week highs.

Asian shares were boosted by yet another positive day for U.S. equities. The S&P 500 Index rose for the third straight day on Monday, adding 1.2%. The U.S. benchmark gauge has advanced about 3% in the last three sessions, recouping all the losses suffered last Wednesday.

Over the last few days, risk assets have been boosted by hopes that major central banks could take measures to arrest the worsening global economic outlook. China's monetary authority last weekend announced a reform of the interest rate system that economists said is tantamount to a rate cut. The Federal Reserve is certain to cut rates once again next month, possibly by half a percentage points.

Central banks have been spurred into action on fears of a major economic downturn. Last week, the 10-year Treasury yield fell below the 2-year yield for the first time in 12 years, an indicator that traders are expecting growth to decelerate.

Meanwhile, Washington, in late U.S. hours on Monday, once again delayed a full ban on American corporations from doing business with Huawei Technologies, while adding more affiliates of the Chinese telecom equipment provider to the so-called Entity List.

In movers on the A300 on Tuesday, CNOOC rose 1.4% to lead energy-related companies higher on the back of yesterday's near 2% rally on Brent crude.

China Unicom (Hong Kong) climbed 0.5% after the telecom operator added a net 0.11 million mobile billing subscribers in July, bringing the aggregate number to 324.5 million.

US-listed Chinese search-engine major Baidu jumped almost 8% in extended trading. While the company reported a 62% decline in June quarter net profit, its revenue beat expectations.

CK Asset Holdings ended 0.8% higher. The Hong Kong developer late Monday announced plans to buy British pub operator Greene King in a deal that values the latter's share capital on a fully diluted basis at 2.7 billion pounds ($3.28 billion). CK Asset is the flagship of the CK Hutchison Group, the leading Hong Kong based multi-national conglomerate.

--Nimesh Vora

Sponsored Content

About Sponsored Content This content was commissioned by Nikkei's Global Business Bureau.

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this monthThis is your last free article this month

Stay ahead with our exclusives on Asia;
the most dynamic market in the world.

Stay ahead with our exclusives on Asia

Get trusted insights from experts within Asia itself.

Get trusted insights from experts
within Asia itself.

Get Unlimited access

You have {{numberArticlesLeft}} free article{{numberArticlesLeft-plural}} left this month

This is your last free article this month

Stay ahead with our exclusives on Asia; the most
dynamic market in the world
.

Get trusted insights from experts
within Asia itself.

Try 3 months for $9

Offer ends June 30th

Your trial period has expired

You need a subscription to...

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers and subscribe

Your full access to the Nikkei Asian Review has expired

You need a subscription to:

  • Read all stories with unlimited access
  • Use our mobile and tablet apps
See all offers
NAR on print phone, device, and tablet media