Asian stocks extend the rally on oil surge

By FXStreet FXStreet (Mumbai) – The Asian equity markets staged a solid start to the week, with the Australian stocks leading the advance in their Asian counterparts.

The renewed optimism on the Asian indices was seen after the Wall Street finished on Friday with hefty gains and oil prices ended at $ 32/ barrel, up almost 10% on the week.

Resource and energy stocks cheer oil rebound

The Japanese benchmark index, the Nikkei 225 rallied +1.29% to 17,173 in volatile trades, after the sentiment remains buoyed on expectations of further stimulus measures by the Bank of Japan (BOJ). However, the gains remain capped as a relatively stronger yen on the back of impressive Japan’s trade data, continues to keep a lid on exporters’ stocks. Meanwhile, USD/JPY trades muted below 119 handle.

The Australian stocks extended gains for the third straight session, with the metals and energy stocks benefiting the most as oil prices continue to recover from the global rout since the start of this year. The S&P/ASX 200 index is now advancing 1.44% to 4,986.

While the Chinese markets also tracked their Asian neighbours higher, with the Shanghai Composite index gaining +1% to trade near 2,945. Shenzhen’s CSI 300 index rises +0.75%, …read more

Source:: FX Street