HK, Shanghai Stocks Soar On Trade-deal Hope

Hong Kong and mainland stocks soared on Monday on optimism that China and the US are close to agreeing a deal to end their long-running trade war.

The Hang Seng Index climbed 1.6 percent, to 28,347.

The benchmark Shanghai Composite Index jumped 2.7 percent, to 2,754, while the Shenzhen Composite Index surged 3.7 percent, to 1,440.

Tokyo ended 1.8 percent higher while Sydney put on 0.4 percent, Singapore and Taipei each gained one percent, while Singapore was 0.9 percent higher.

Manila and Jakarta piled on more than 1 percent apiece, though Mumbai eased 0.5 percent.

The prospect of an end to the near year-long US-China trade row has also provided a lift to regional currencies against the dollar with investors moving into higher-risk units.

Dealers will be closely watching the release later in the week of minutes from the Fed's latest policy meeting, hoping for a better idea of its rate plans.

Indonesia's rupiah, the South Korean won and the Australian dollar were among the biggest gainers.

Oil extended last week's sharp gains on signs that Opec members and other major producers led by Russia are cutting output.

Positive signs from the US-China trade negotiations "gave oil a double boost as it also softened the US dollar as it reduced its appeal as a safe haven", said Alfonso Esparza, senior market analyst at Oanda. (AFP)