Markets Across Asia Pacific Rise Amid US-China Good News

Markets across Asia Pacific — especially in China — opened on a positive note on Monday as the U.S. and China trade talks show progress. 

The two countries “almost finalized” parts of their Phase One trade deal, the U.S. Trade Representative’s office and China’s Commerce Ministry said on Friday, Oct. 25, Reuters reports.

Stocks

Here’s how stocks are doing across Asia.

Hong Kong’s Hang Seng Index (HSI) made a tremendous gain of 1.19% in early trade.

Shanghai Stock Exchange (SSE) Composite Index traded 0.72% up.

Japan’s Nikkei 225 climbed 0.27%, and the Tokyo Stock Price Index (TOPIX) added 0.10%.

South Korea’s KOSPI traded at 0.38% gain.

Australia’s S&P/ASX 200 added a small 0.14% gain.
Thailand’s SET traded at 0.14% loss.

Indonesia’s IDX Composite gained 0.083%.

Markets in Singapore, India, and Malaysia are closed for a national holiday Diwali. Markets are also closed in New Zealand, as the country is celebrating Labor Day.

Currencies 

The Japanese Yen (JNY) strengthened slightly against the U.S. dollar at 108.74 from the 108.78 it was trading at last week.

The Chinese Yuan (CNY) continues to show weakness against the dollar, trading at 7.059.

What’s Next

Markets across Asia are expected to see a further movement as HSBC HSBC, an international investment bank, announces its third-quarter financial earnings later today.

The Chinese Yuan is expected to recover in November, according to Goldman Sachs. 

"We forecast a rise back to 7.20 versus the dollar, so trading towards the weak end of the band around the fix,” Zach Pandl, co-head of global foreign-exchange rates and emerging markets strategy at Goldman Sachs, told CNBC. “That move will likely happen over the course of the next month, is our best guess.”