Investing.com -- Most Asian stocks rose slightly on Tuesday as markets awaited a barrage of key economic readings this week, while a rally in Chinese shares extended into a second session amid speculation over more stimulus measures.
Regional markets took some positive cues from Wall Street as U.S. stocks ended Monday higher on strength in industrials and technology stocks. This spilled over into Asian trade, with regional tech stocks leading broader gains.
Asian stocks had logged strong gains on Monday after China rolled out measures aimed at supporting its beleaguered stock market. Markets were now watching for any more stimulus measures in the region's biggest economy, as it struggles to shore up slowing growth.
Chinese stocks extend strong gains amid stimulus bets
State media reports said that the People's Bank of China (PBOC) could potentially cut its reserve ratio requirements sooner than expected, providing local markets with more liquidity. Chinese officials also talked up potential fiscal support for the economy.
Beijing had over the weekend said it will halve the stamp duty collected on stock trading in the country, as part of broader measures aimed at helping local equities. The measures helped trigger sharp gains in local stocks.
Focus is now squarely on purchasing managers’ index (PMI) data from the country, due on Thursday and Friday. The readings are expected to offer more cues on a slowing economic recovery in the country, with analysts expecting this week’s readings to show little improvement.
Hang Seng outperforms on tech, real estate strength
Hong Kong's Hang Seng index was the best performer among its Asian peers on Tuesday, rising over 2% on a mix of tech strength, improving sentiment towards real estate, and increased deal making activity.
Property developer Country Garden (HK: 2007 ) jumped over 4% after China introduced more measures to support the beleaguered property sector. The firm also reassured investors that some of its key offshore projects were still on track, helping ease some concerns over a looming debt default.
Hong Kong shares of electric vehicle maker BYD (HK: 1211 ) rose over 6%, extending gains after it entered a $2.2 billion deal to acquire the Chinese mobility business of U.S.-based manufacturer Jabil (NYSE: JBL ). BYD’s profit for the first six months of 2023 also tripled.
Asian stocks rise with U.S. data in sight
Broader Asian markets pushed higher as markets awaited a slew of U.S. economic readings this week.
The automaker suspended production at 12 factories due to a system failure.
Optimism over China helped Australia's ASX 200 add 0.4%, as did a string of positive earnings.
Futures for India’s Nifty 50 index pointed to a mildly positive open, on strength in heavyweight tech stocks.
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