Investing.com - Asian stock markets were mostly higher during late Asian trade on Tuesday, as signs that U.S. political leaders were making progress on a budget deal to avoid the fiscal cliff boosted appetite for riskier assets.
Shares in Japan extended gains from the previous session, after a victory for Japan’s Liberal Democratic Party in elections on Sunday fuelled expectations for more aggressive easing steps by the Bank of Japan.
During late Asian trade, Hong Kong's Hang Seng Index eased down 0.2%, Australia’s ASX/200 Index settled 0.5% higher, while Japan’s Nikkei 225 Index ended up 1%.
In Tokyo, the Nikkei climbed to the highest level since late March, as exporters advanced on the back of a weakening yen, which traded near a 20-month low against the U.S. dollar.
LDP leader Shinzo Abe has called for unlimited easing by the Bank of Japan in order to meet the bank’s 2% inflation target and spur growth in the recession hit economy.
Shares in consumer electronics makers Sharp and Canon rallied 8.6% and 3.4% respectively, while automakers Honda and Nissan added 1.8% and 1.6% apiece.
Troubled nuclear power plant operator Tokyo Electric Power Company saw shares surge 17.3%, building on strong gains in the previous session.
The Nikkei has rallied nearly 14.5% in the past four weeks, with exporters amongst the most notable gainers, as ongoing weakness in the yen boosted the outlook for export earnings.
Investor focus turned to the upcoming BoJ policy meeting on Thursday, amid expectations that the central bank will implement further easing measures.
Meanwhile, shares in Hong Kong eased down slightly as investors continued to take profits following last week’s rally which took the Hang Seng index to a 17-month high.
Insurance giant AIA Group lost 3.15% after American Insurance Group wrapped up its stake sale in the company.
Elsewhere, in Australia, the benchmark ASX/200 Index ended at a 17-month high, supported by strong gains in iron ore makers.
Fortescue Metals Group saw shares rise 2.9%, Atlas Iron tacked on 5.2% and Mount Gibson Iron rallied 7.4%.
Looking ahead, European stock market futures were mostly higher, as signs of progress in tackling the euro zone's debt crisis supported sentiment, while investors eyed ongoing U.S. budget talks.
The EURO STOXX 50 futures pointed to a gain of 0.5% at the open, France’s CAC 40 futures added 0.4%, London’s FTSE 100 futures eased up 0.3%, while Germany's DAX futures pointed to a gain of 0.4% at the open.
The U.S. was to produce government data on the current account later in the trading day.
Shares in Japan extended gains from the previous session, after a victory for Japan’s Liberal Democratic Party in elections on Sunday fuelled expectations for more aggressive easing steps by the Bank of Japan.
During late Asian trade, Hong Kong's Hang Seng Index eased down 0.2%, Australia’s ASX/200 Index settled 0.5% higher, while Japan’s Nikkei 225 Index ended up 1%.
In Tokyo, the Nikkei climbed to the highest level since late March, as exporters advanced on the back of a weakening yen, which traded near a 20-month low against the U.S. dollar.
LDP leader Shinzo Abe has called for unlimited easing by the Bank of Japan in order to meet the bank’s 2% inflation target and spur growth in the recession hit economy.
Shares in consumer electronics makers Sharp and Canon rallied 8.6% and 3.4% respectively, while automakers Honda and Nissan added 1.8% and 1.6% apiece.
Troubled nuclear power plant operator Tokyo Electric Power Company saw shares surge 17.3%, building on strong gains in the previous session.
The Nikkei has rallied nearly 14.5% in the past four weeks, with exporters amongst the most notable gainers, as ongoing weakness in the yen boosted the outlook for export earnings.
Investor focus turned to the upcoming BoJ policy meeting on Thursday, amid expectations that the central bank will implement further easing measures.
Meanwhile, shares in Hong Kong eased down slightly as investors continued to take profits following last week’s rally which took the Hang Seng index to a 17-month high.
Insurance giant AIA Group lost 3.15% after American Insurance Group wrapped up its stake sale in the company.
Elsewhere, in Australia, the benchmark ASX/200 Index ended at a 17-month high, supported by strong gains in iron ore makers.
Fortescue Metals Group saw shares rise 2.9%, Atlas Iron tacked on 5.2% and Mount Gibson Iron rallied 7.4%.
Looking ahead, European stock market futures were mostly higher, as signs of progress in tackling the euro zone's debt crisis supported sentiment, while investors eyed ongoing U.S. budget talks.
The EURO STOXX 50 futures pointed to a gain of 0.5% at the open, France’s CAC 40 futures added 0.4%, London’s FTSE 100 futures eased up 0.3%, while Germany's DAX futures pointed to a gain of 0.4% at the open.
The U.S. was to produce government data on the current account later in the trading day.