By YURI KAGEYAMA, A.P. Business writer
TOKYO (AP) – Asian stocks rose on Monday, with more signs of recovery in China’s manufacturing sector.
Japan’s benchmark Nikkei 225 rose 1.4% to 23,295.48, while South Korea’s Kospi rose 1.4% to 2,299.72. Australia’s S&P / ASX 200 added 0.4% to 5,951.30. Hong Kong’s Hang Seng jumped 1.2% to 24,386.10, while Shanghai Composite closed down 0.1% at 3,222.77.
Shares slipped 0.1% in India but were higher in Taiwan and Southeast Asia.
The weekend said that the Caixin manufacturing PMI, a key indicator of China’s manufacturing sector, increased in October.
But if cases of coronavirus are increasing in the US and Europe, it is likely to hurt China’s exports. The resurgence of the COVID-19 outbreak on top of uncertainty over the US presidential election has worried investors.
The US government’s top infectious diseases expert has warned that the US will have to deal with “a lot of injuries” in the coming weeks due to an increase in cases of coronovirus. Dr. Anthony Fauci said in an interview with the Washington Post that the US “cannot possibly get into a worse situation” to prevent growing cases as more people gather indoors during the cold and winter months.
Despite epidemic and election concerns, market players look forward to a portion of the report expected from Japan and the rest of the region, including automaker and video-game maker Nintendo Company.
“With voters going to the polls this week, or more accurately, not going to the polls, having already cast their postal votes in large numbers, Asia will be looking nervously towards the west this week, thinking Was what the result would be, and it would make sense for them, ”said Robert Cornell, regional head of research for ING.
US-China relations have been focused on, but investors are not sure what changes the results could bring to that issue. Although Democratic nominee Joseph Biden may go easy on the tariffs, he says it is unlikely to soften US policy on other issues such as human rights, Cornell said in a report.
Last week proved punishable for Wall Street, with the S&P 500 posting its first back-to-back monthly loss as the coronovirus epidemic first gripped the economy in March.
To lock in profits before the election, investors are benefiting from the recovery over the past several months.
The S&P 500 fell 1.2% to 3,269.96, ending the week with a loss of 5.6%, its worst in seven months. The sharp drop in large technology stocks drove sales too high, reflecting concerns that expectations are high for some of the biggest stars in the market, including Apple and Amazon.
The Dow Jones Industrial Average fell 0.6% to 26,501.60. The Nasdaq Composite gained 2.5% to 10,911.59.
In energy trading on Monday, benchmark US crude slipped from $ 1.50 to $ 34.29 a barrel in electronic trading on the New York Mercant Exchange. It dropped 38 cents to $ 35.79 a barrel on Friday. Internationally, Brent crude fell $ 1.44 to $ 36.50 a barrel.
The US dollar climbed from 104.66 yen to 104.73 Japanese yen. The euro is priced at $ 1.1637, slightly less than $ 1.1648.
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