Asian stocks rose, reversing earlier losses as Chinese stocks climbed to their highest in almost a month and oil rebounded above $ 30 a barrel, lifting energy shares.
The MSCI Asia Pacific Index advanced 0.7 percent to 120.41 as of 5:01 p.m. in Tokyo after jumping 5.9 percent last week. Consumer-staple and industrial shares led gains as all the measure’s 10 industry groups climbed on Monday. The regional benchmark index remains 8.8 percent lower this year as a combination of tumbling oil prices, concern about the slowdown in Asia’s largest economy and a selloff in bank stocks sent a measure of global stocks into a bear market. HSBC Holdings Plc, Europe’s largest bank, declined 2.2 percent after unexpectedly reporting a fourth-quarter pretax loss of $ 858 million.
The Shanghai Composite Index rose 2.4 percent to close at its highest since Jan. 25 amid speculation the new securities regulator chairman will take steps to boost the world’s second-largest equity market. Hong Kong’s Hang Seng Index added 0.9 percent and the Hang Seng China Enterprises Index, a gauge of mainland stocks listed in the city, gained 1.3 percent.
Japanese shares rose for the first time in three days, with the Nikkei 225 Stock Average closing above 20,000 for the first time since August, after data showed capital spending jumped more than expected as company profits increased in the third quarter.
The Nikkei 225 added 1.3 percent to 20,012.40, its highest close since Aug. 20. The broader Topix index gained 1.4 percent to 1,601.95, as all but one of the gauge’s 33 industry groups advanced. The yen added 0.1 percent to 122.98 per dollar after weakening for two days.
Government data showed capital spending jumped 11.2 percent in the third quarter from a year earlier, more than economist forecasts for 2.2 percent growth. The gain raises the possibility of an upward revision to gross domestic product after news last month that Japan had slipped into a recession. Company profits increased 9 percent after jumping almost 24 percent in the previous three months.
The Topix on Monday capped a second straight monthly gain. Japanese stocks have weathered a cooling Chinese economy and the prospect of monetary tightening by the Federal Reserve to rank among the best performers in developed countries this year. The Topix rallied 14 percent in 2015 through Tuesday.
E-mini futures on the Standard & Poor’s 500 Index added 0.6 percent after the underlying gauge lost 0.5 percent on Monday as investors prepared for policy decisions from central banks.
Traders see a 74 percent chance the Fed will raise U.S. interest rates in December. By contrast, economists surveyed by Bloomberg unanimously predict the European Central Bank will expand stimulus on Thursday.