Tokyo, Japan
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Stocks in the Asia-Pacific region were mostly higher on Thursday, with many markets remaining closed for Christmas.
Japan Nikki 225 The Topix rose 1.12% to close at 8,220.9 while the Topix added 1.20% to close at 2,766.78, a day after a report said the country was preparing a record $735 billion budget for the fiscal year starting in April. A draft reviewed by Reuters revealed that the budget would cover increased social security expenditures and debt service.
In addition, Bank of Japan Governor Kazuo Ueda said on Wednesday that “the Japanese economy will approach a sustainable and stable inflation rate of 2% (in 2025), accompanied by a wage increase.”
The yield on 10-year Japanese government bonds rose 1.3 basis points to 1.078%, while the yen rose to 157.16 against the dollar on Thursday, indicating that the market expects the bank to raise interest rates.
Shares of Japanese automakers Nissan and Honda rose by 6.58% and 3.84%, respectively. The two companies began formal merger negotiations at the beginning of the week, which could lead to the creation of the world’s third-largest automaker by sales.
shares Japan AirlinesMeanwhile, its stock closed 0.24% lower after a cyberattack caused delays in domestic and international flights. Its systems have since been restored to normal.
South Korea Cosby The Kosdaq Index fell by 0.44% to close at 2,429.67, while the Kosdaq Index lost 0.66% to close at 675.64. The country’s main opposition Democratic Party has submitted a bill to impeach acting President Han Dak-soo, and a vote is scheduled for Friday, Yonhap News Agency reported.
Alibaba Group Holding E-Mart is close to finalizing an agreement to merge its business in South Korea with E-Mart’s e-commerce platform in order to strengthen its position in the country’s fast-growing online retail market, Bloomberg reported, citing sources. E-Mart shares closed up 5.45%.
China’s CSI 300 index rose slightly to close at 3,987.48 as the World Bank updated the country’s GDP growth forecasts for 2024 and 2025, reflecting recent policy adjustments. It now expects China’s GDP to grow by 4.9% in 2024 compared to its previous forecast of 4.8%. In 2025, China’s GDP is expected to reach 4.5%, higher than the organization’s previous forecast of 4.1%.
The Chinese government announced on Wednesday that efforts to stabilize and halt the decline in China’s real estate market will continue in 2025. The measures will include controlling the supply of commercial housing to improve supply.
Singapore’s manufacturing output rose 8.5% in November from a year earlier, supported by a strong performance in the electronics sector, marking the fifth consecutive month of growth. But the reading was lower than Reuters’ expectations of 10% growth. On a seasonally adjusted monthly basis, the country’s manufacturing output contracted by 0.4%, compared with a Reuters forecast of an expansion of 0.8%.
The markets of Australia, New Zealand and Hong Kong were closed for the Christmas holiday.
Overnight in the United States, markets were closed for Christmas. Stocks jumped Tuesday on Christmas Eve as the market reversed back-to-back gains over the holiday week.
The Standard & Poor’s 500 Index added 1.1% to 6,040.04 points, and the Dow Jones Industrial Average gained 390.08 points, or 0.91%, to 43,297.03 points. The Nasdaq Composite Index rose 1.35% to 20,031.13 points, supported by a 7.4% jump in Tesla shares.
Tuesday marked the start of the seasonal Santa Claus rally, which occurs in the last five trading days of the year and the first two days in January.
CNBC’s Yun Li and Sean Conlon contributed to this story.
