Asian shares rose Monday as confidence in equities continued to creep back, with some markets in the region gaining after the Lunar New Year holiday.
South Korea’s Kospi SEU, +0.87% was up 0.8%, Singapore’s benchmark STI, +1.29% gained 1.1% and Japan’s Nikkei Stock Average NIK, +1.97% closed up 2% at a two-week high helped by some yen softening after last week’s sharp rises. Shares in Australia XJO, +0.64% XJO, +0.64% rose, while stocks in New Zealand NZ50GR, -0.12% underperformed.
NZ50GR, -0.12% Markets in China, Hong Kong and Taiwan remain closed for the holiday. U.S. markets will be closed Monday for Presidents Day.
The gains in Asia are the latest indication of improving confidence in global equities following a correction earlier in February sparked by fears about rising inflation. Investors are now refocusing on strong earnings.
“It’s kind of a relief rally,” said Takashi Hiroki, chief strategist at Monex Securities in Tokyo. The Dow Jones Industrial Average had its best week since President Donald Trump’s election win, while the S&P 500’s weekly jump last week was its largest since 2013.
Both retail and institutional investors in Japan were using the recent dip as a buying opportunity, Mr. Hiroki added, against a background of healthy economic growth. Japanese exports rose for a 14th straight month in January, led by continued demand from Asia for semiconductor equipment, Japan’s finance ministry said Monday.
Among the day’s biggest movers, Fast Retailing 9983, +2.51% gained 2.5% while automated machinery maker Fanuc 6954, +3.68% added 3.7%.
The Nikkei got an extra lift as the yen shed some of its gains from last week. The dollar JPYUSD, -0.257149% was recently at ¥106.47 versus ¥105.76 when Tokyo stocks stopped trading Monday versus ¥105.76 at the close Friday.
Export-related stocks gained. Nintendo 7974, +2.07% was up 1.9%. Toyota Motor 7203, +2.37% gained 2% and Honda Motor 7267, +2.04% climbed 1.9%.
Korea’s Kospi SEU, +0.87% also climbed near two-week highs with the index up 0.8%, supported by Samsung Electronics 005930, -1.27% shares, which gained 3%.
Broad gains helped push up Australia’s ASX 200 XJO, +0.64% to its highest close in two weeks following a recovery by most of the major banks and a strong corporate earnings season. The S&P/ASX 200 rose 0.6% with National Australia Bank NAB, +0.82% advancing 0.8%. Beach Energy BPT, +7.11% , Brambles BXB, +1.14% , NIB Holdings NHF, +2.64% and Seek SEK, +1.94% each gained at least 1% after releasing earnings results.
Both retail and institutional investors in Japan were using the recent dip as a buying opportunity, Hiroki added, against a background of healthy economic growth. Japanese exports rose for a 14th straight month in January, led by continued demand from Asia for semiconductor equipment, Japan’s finance ministry said Monday.
Shares in Singapore and Malaysia FBMKLCI, +1.04% also gained, helped by strength in banks and infrastructure-related stocks.
New Zealand’s NZX 50 NZ50GR, -0.12% was the underperformer of the region, closing down 0.1%, ahead of earnings results due this week.
— Robb M. Stewart in Melbourne, Australia, contributed to this article.