TOKYO — Asian shares rose Friday, echoing a rally on Wall Street, as hopes grew for a gradual global economic recovery from the damage of the coronavirus pandemic.
Japan’s benchmark Nikkei 225
NIK,
surged 1.3% in morning trading. Australia’s S&P/ASX 200
XJO,
rose 1%, and South Korea’s Kospi
180721,
climbed 0.4%. Hong Kong’s Hang Seng
HSI,
jumped 0.5%, while the Shanghai Composite
SHCOMP,
gained 0.4%. Stocks rose in Singapore
STI,
Taiwan
Y9999,
and Indonesia
JAKIDX,
Venkateswaran Lavanya of Mizuho Bank in Singapore said Asian markets are getting a lift from positive employment data from the U.S., which has set off a mood of “confidence about the U.S. economy getting back on its feet.”
What appears in global data as the gradual decline in COVID-19 cases is also nurturing hopes for a rebound. So are rollouts of COVID-19 vaccines, Lavanya said.
Wall Street was cheered by strong company earnings and optimism that Washington can reach a deal for another round of fiscal stimulus for millions of Americans.
The S&P 500 index
SPX,
rose 1.1% to 3,871.74. It was the index’s fourth-straight gain. The Dow Jones Industrial Average
DJIA,
picked up 1.1%, to 31,055.86. The technology-heavy Nasdaq
COMP,
gained 1.2%, to 13,777.74, also an all-time high.
Financial and technology companies led the way. Small-company stocks also had a strong showing, another bullish signal that investors are feeling more optimistic about the economy.
“There are a lot of reasons to be optimistic and, obviously, there’s a tremendous amount of stimulus in the system with talks of more,” Brian Price, head of investment management for Commonwealth Financial Network.
In energy trading, U.S. benchmark crude
CLH21,
added 39 cents to $56.62 a barrel in electronic trading on the New York Mercantile Exchange. It gained 54 cents to $56.23 per barrel on Thursday. Brent crude
BRNJ21,
the international standard, added 38 cents to $59.22 a barrel.
In currencies, the U.S. dollar
USDJPY,
was trading at 105.55 Japanese yen, up from 105.54 yen.