By Gina Lee
Investing.com – Asia Pacific stocks were up on Wednesday morning, starting the session strong thanks to a commodities rally and after U.S. counterparts recorded a strong end to the previous session.
Japan’s Nikkei 225 was up 0.36% by 9:45 PM ET (1:44 AM GMT).
South Korea’s KOSPI was up 0.23%, with the Bank of Korea handing down its latest policy decision on Thursday.
In Australia, the ASX 200 was up 0.28% and Hong Kong’s Hang Seng Index gained 0.66%.
China’s Shanghai Composite was up 0.22% and the Shenzhen Component rose 0.88%. As China continues to tighten regulations on various sectors, the U.S. Securities and Exchange Commission said it will issue expanded disclosure requirements for the more than 250 Chinese companies currently trading on U.S. stock exchanges.
Meanwhile, the Nasdaq Golden Dragon China Index jumped after JD (NASDAQ:JD).com Inc. (HK:9618) reported solid results on Tuesday, luring back investors such as Cathie Wood.
In the U.S., the S&P 500 and the Nasdaq 100 closed at record highs, boosted after Best Buy Co. Inc. (NYSE:BBY) shares climbed up to 8% after reporting strong consumer demand.
Commodities markets also had a strong start to the day, with crude oil remaining above the $67-mark thanks to China’s report that it has stamped out its latest COVID-19 outbreak and easing fuel demand concerns. Iron ore was also on an uptick.
Investors now look to the U.S. Federal Reserve’s Jackson Hole symposium, which will take place online from Aug. 26 to Aug. 28.
“As long as the economic and corporate earnings environments continue to improve, the market is likely to withstand ongoing concerns about the virus and policy. That said, risks for the market are becoming more balanced as we move throughout the market cycle,” New York Life Investments economist and portfolio strategist Lauren Goodwin told Bloomberg.
On the data front, U.S. new home sales were at 708,000 units, growing 1% month-on-month in July. More data is due out throughout the rest of the week, with the U.S. GDP for the second quarter to be released on Thursday and the core personal consumption expenditures price index, along with personal income and spending data, following on Friday.
Meanwhile, the U.S. House of Representatives adopted a $3.5. trillion budget resolution, paving the way for President Joe Biden’s economic agenda to move forward.