Asian stocks are higher today, after softer reading of the Federal Reserve’s preferred inflation measure bolstered hopes for rate cuts. Equities in Australia, Japan, and Hong Kong advanced. Indian equities surged following election results indicating a victory for Prime Minister Narendra Modi’s party in a landslide while positive property numbers out of China have also helped boost stocks today. The recent decline of the US dollar, down 1.1% in May, also supported gains. On the data front we have had regional PMIs, AU MI Inflation and Indonesian CPI.

  • Japanese equities are higher today. Japan's Topix is 0.95% higher and is now trading near a two-month highs, driven by renewed expectations for US interest-rate cuts, which boosted investor appetite for riskier assets. Sony Group has contributed the most to the Topix gain, with high domestic bond yields particularly benefited banking stocks such as Mitsubishi UFJ and Sumitomo Mitsui, the Topix Bank Index is up 1.46% while the Nikkei also advanced 1.15%. Earlier Capital spending for 1Q was 6.8% vs 11% est, while Jibun Bank PMI was 50.4 vs 50.5 prior.
  • Taiwan equities have surged higher today, TSMC has contributed the most the index gain up 3.41% after Nvidia announced plans for new chips. Earlier, S&P PMI manufacturing was up in May to 50.9 from 50.2. The Taiex is up 1.76%.
  • South Korean equities have surged higher today as chip and auto names lead the way. Earlier, S&P Manufacturing PMI increased in May to 51.6 vs 49.4 in Apr. The Kospi is up 1.87% and is now testing the 50-day EMA, while the Kosdaq lags moves however still trades up 0.51%.
  • Australian equities are on track for their 2nd straight day of gains, led by Utilities and energy stocks. Earlier, we had Judo Bank PMI coming in at 49.7 vs 49.6 prior and MI Inflation for May was 0.3% vs 0.1% in April. The ASX200 is 0.79% higher.
  • Elsewhere in SEA, Indian equities have surged on the back of the election results with the Nifity 50 up 2.90%, Indonesian equities are 1.36% higher, Singapore equities are 0.42% and Philippines equities are 0.60% higher.

ASIA STOCKS: Equities Rally On US Data, China Prop & Indian Election Results

Last updated at:Jun-03 04:56By: Sam Hunter

Asian stocks are higher today, after softer reading of the Federal Reserve’s preferred inflation measure bolstered hopes for rate cuts. Equities in Australia, Japan, and Hong Kong advanced. Indian equities surged following election results indicating a victory for Prime Minister Narendra Modi’s party in a landslide while positive property numbers out of China have also helped boost stocks today. The recent decline of the US dollar, down 1.1% in May, also supported gains. On the data front we have had regional PMIs, AU MI Inflation and Indonesian CPI.

  • Japanese equities are higher today. Japan's Topix is 0.95% higher and is now trading near a two-month highs, driven by renewed expectations for US interest-rate cuts, which boosted investor appetite for riskier assets. Sony Group has contributed the most to the Topix gain, with high domestic bond yields particularly benefited banking stocks such as Mitsubishi UFJ and Sumitomo Mitsui, the Topix Bank Index is up 1.46% while the Nikkei also advanced 1.15%. Earlier Capital spending for 1Q was 6.8% vs 11% est, while Jibun Bank PMI was 50.4 vs 50.5 prior.
  • Taiwan equities have surged higher today, TSMC has contributed the most the index gain up 3.41% after Nvidia announced plans for new chips. Earlier, S&P PMI manufacturing was up in May to 50.9 from 50.2. The Taiex is up 1.76%.
  • South Korean equities have surged higher today as chip and auto names lead the way. Earlier, S&P Manufacturing PMI increased in May to 51.6 vs 49.4 in Apr. The Kospi is up 1.87% and is now testing the 50-day EMA, while the Kosdaq lags moves however still trades up 0.51%.
  • Australian equities are on track for their 2nd straight day of gains, led by Utilities and energy stocks. Earlier, we had Judo Bank PMI coming in at 49.7 vs 49.6 prior and MI Inflation for May was 0.3% vs 0.1% in April. The ASX200 is 0.79% higher.
  • Elsewhere in SEA, Indian equities have surged on the back of the election results with the Nifity 50 up 2.90%, Indonesian equities are 1.36% higher, Singapore equities are 0.42% and Philippines equities are 0.60% higher.

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