Asian Stocks Advance As Xi Meets Business Leaders – Asia Market Wrap
Asian stocks advanced, with gauges in Hong Kong outperforming after a meeting between China’s President Xi and business leaders raised expectations of more support for the private sector.
A regional benchmark of shares rose to its highest level since early November with a gauge of major Hong Kong-listed technology stocks trading at a three-year high. Australian stocks extended losses after the central bank cut its policy rate. US equity index futures pointed to a gain while contracts for Europe were flat.
The dollar strengthened against all of its Group-of-10 peers and US Treasury 10-year yields were up four basis points to 4.5% as the bond market reopened Tuesday after the Presidents’ Day holiday. Earlier, Federal Reserve Governor Christopher Waller said recent economic data supported keeping interest rates on hold until more progress was seen in inflation.
The optimism around China got a further lift Monday after the encounter between Xi and corporate leaders, including Alibaba Group Holding Ltd. co-founder Jack Ma. Several analysts saw the conclave as a possible end to the years-long crackdown on the private sector. Chinese shares have added more than $1 trillion since DeepSeek’s breakthrough in artificial intelligence.
