Investing.com – Asian stock markets rallied on Wednesday, tracking sharp gains in global equities as appetite for riskier assets improved amid renewed optimism over the health of the global economy.
During late Asian trade, Hong Kong's Hang Seng Index jumped 1.4%, Australia’s S&P/ASX200 surged 2.1%, while Japan’s Nikkei 225 Index advanced 1.5%.
U.S. stocks rallied on Tuesday amid indications the U.S. economy was strengthening after government data showed Tuesday that U.S. building permits rose to the highest level since March 2010 last month, while housing starts climbed to a 19-month high.
Also Tuesday, Spain saw borrowing costs fall sharply at an auction of three and six-month government bonds, while German research institute Ifo said that its Business Climate Index rose in December, confounding expectations for a decline.
Shares in many of the big-name Japanese exporters advanced, boosted by the outlook for export earnings. Consumer electronics giant Sony rallied 3.4%, digital camera maker Canon rose 1.3%, while Honda saw shares gain 2.4%.
Japanese lenders also contributed to gains, with Mitsubishi UFJ Financial Group adding 1%, while investment banks Nomura Holdings and Daiwa Securities, which have large exposure to European sovereign debt, climbed 1.25% and 1.2% respectively.
On the downside, troubled nuclear power plant operator Tokyo Electric Power Company saw shares plunge 9.85% amid reports the utility may be effectively nationalized.
Elsewhere, in Hong Kong, shares raw material producers performed strongly, as oil and metal prices advanced on the New York Mercantile Exchange, boosting earnings prospects for miners and energy explorers.
Copper producer Jiangxi Copper Company saw shares gain 1.7%, gold producer Zijin Mining rallied 3.9%, while oil giant PetroChina rose 3.3%.
Looking ahead, the outlook for European stock markets was upbeat ahead of the European Central Bank’s first offering of three-year loans, introduced after the bank’s policy meeting earlier this month.
The EURO STOXX 50 futures pointed to a gain of 1.1%, France’s CAC 40 futures added 1%, the FTSE 100 futures rose 0.8%, while Germany's DAX futures pointed to a 1% increase.
Later in the day, the U.S. is to produce industry data on existing home sales.
During late Asian trade, Hong Kong's Hang Seng Index jumped 1.4%, Australia’s S&P/ASX200 surged 2.1%, while Japan’s Nikkei 225 Index advanced 1.5%.
U.S. stocks rallied on Tuesday amid indications the U.S. economy was strengthening after government data showed Tuesday that U.S. building permits rose to the highest level since March 2010 last month, while housing starts climbed to a 19-month high.
Also Tuesday, Spain saw borrowing costs fall sharply at an auction of three and six-month government bonds, while German research institute Ifo said that its Business Climate Index rose in December, confounding expectations for a decline.
Shares in many of the big-name Japanese exporters advanced, boosted by the outlook for export earnings. Consumer electronics giant Sony rallied 3.4%, digital camera maker Canon rose 1.3%, while Honda saw shares gain 2.4%.
Japanese lenders also contributed to gains, with Mitsubishi UFJ Financial Group adding 1%, while investment banks Nomura Holdings and Daiwa Securities, which have large exposure to European sovereign debt, climbed 1.25% and 1.2% respectively.
On the downside, troubled nuclear power plant operator Tokyo Electric Power Company saw shares plunge 9.85% amid reports the utility may be effectively nationalized.
Elsewhere, in Hong Kong, shares raw material producers performed strongly, as oil and metal prices advanced on the New York Mercantile Exchange, boosting earnings prospects for miners and energy explorers.
Copper producer Jiangxi Copper Company saw shares gain 1.7%, gold producer Zijin Mining rallied 3.9%, while oil giant PetroChina rose 3.3%.
Looking ahead, the outlook for European stock markets was upbeat ahead of the European Central Bank’s first offering of three-year loans, introduced after the bank’s policy meeting earlier this month.
The EURO STOXX 50 futures pointed to a gain of 1.1%, France’s CAC 40 futures added 1%, the FTSE 100 futures rose 0.8%, while Germany's DAX futures pointed to a 1% increase.
Later in the day, the U.S. is to produce industry data on existing home sales.