Asian stocks close higher ahead of Chinese New Year holiday

Asian stock markets ended business this Friday (20) on a high, with investors showing appetite for risk ahead of holidays in various parts of the region.

In mainland China, the Shanghai Composite index rose 0.76%, to 3,264.81 points, and the less comprehensive Shenzhen Composite advanced 0.65%, to 2,125.81 points, still amid the optimism generated by the reopening of the second largest economy of the world after the abrupt reversal of Beijing’s “Covid zero” policy last month.

Next week, local stock exchanges will not operate due to the Chinese New Year holiday.

China’s central bank, the PBoC, on Friday left its key interest rates unchanged despite China’s relatively weak economic growth last year.

Already the Hang Seng was high of 1.82% in Hong Kong, to 22,044.65 points, and the South Korean Kospi recorded gain of 0.63% in Seoul, to 2,395.26 points.

Also because of the Chinese holiday, the Hong Kong market will only reopen next Thursday (26). The market in Seoul, in turn, will be closed until Tuesday (24), for the celebration of the New Year in South Korea.

The Taiwan Stock Exchange has not operated for three days and will remain inactive over the next week.

In Tokyo, Japan’s Nikkei rose 0.56% to 26,553.53 points, with gains led by shares in the airline and steel sectors.

The positive tone prevailed in Asia, despite the weak performance of the New York stock exchanges, which on Thursday closed with widespread losses for the second consecutive session amid renewed fears about the possibility of a recession in the US.

In Oceania, the Australian stock exchange was also in the black. The S&P/ASX 200 advanced 0.23% in Sydney, at 7,452.20 points, renewing a nine-month high.