Asian stocks climbed on Monday, driven by a record-setting rally in Japan and stronger-than-expected economic growth in China, while signs of easing U.S.-China trade tensions helped improve overall sentiment.
Japan’s Nikkei 225 surged nearly 3% to a new all-time high of 48,975, as markets grew increasingly optimistic that Sanae Takaichi — expected to become Japan’s first female prime minister — will maintain dovish fiscal and monetary policies, including higher government spending and resistance to further Bank of Japan tightening.
Mainland Chinese equities gained as well, with the Shanghai Composite up 0.7% and the CSI 300 rising 0.9%, following Q3 GDP growth of 4.8% year-on-year — above forecasts. The report showed that despite continued weakness in consumption and property, exports remain a key pillar for growth.
Hong Kong’s Hang Seng Index rebounded 2.5%, supported by a recovery in major technology stocks that slumped last week.
Elsewhere in the region, South Korea’s KOSPI rose 1.2% toward record territory, boosted by strength in chipmakers, while Taiwan-related semiconductor shares also advanced.
U.S. index futures edged higher in Asian hours, with traders awaiting earnings from Netflix and Tesla later this week. Hopes for continued U.S.-China negotiations further lifted global risk appetite.