Stocks in Asia-Pacific rose in Monday trade, with shares in Japan and China leading gains regionally. Japan’s Nikkei 225 surged 2.26% in afternoon trade while the Topix index jumped 2.09%. South Korea’s Kospi also advanced 0.98%. Mainland Chinese stocks rose, with the Shanghai composite up 0.93% and the Shenzhen component climbing 2.386%. Hong Kong’s Hang Seng index gained 0.68%.
The S&P/ASX 200 in Australia edged 0.67% higher. MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.72%. In economic news, China’s central bank announced Friday a 50 basis points cut in its reserve requirement ratio for all banks, effective from July. The RRR represents the amount of money that banks must hold in their coffers as a proportion of their total deposits. A lowering of that required amount will increase the supply of money that banks can lend to businesses and individuals.
The U.S. dollar index, which tracks the greenback against a basket of its peers, was at 92.191 after a recent slide from above 92.4. The Japanese yen traded at 110.12 per dollar, weaker than levels seen below 110 against the greenback last week. The Australian dollar changed hands at $0.7468, still below levels above $0.755 seen last week. Oil prices dipped in the afternoon of Asia trading hours, with international benchmark Brent crude futures sliding 0.2% to $75.40 per barrel. U.S. crude futures fell 0.16% to $74.44 per barrel.
Source: FXPro