Hong Kong, Shanghai Stocks Regain Some Lost Ground

Hong Kong stocks ended more than 1 percent higher on Tuesday after a positive lead from Wall Street, making a small dent in the hefty losses suffered over the past week.

The Hang Seng Index climbed 1.3 percent, to close at 29,839.

On the mainland, the benchmark Shanghai Composite Index rose 1 percent, to 3,184 while the Shenzhen Composite Index climbed 0.4 percent, to 1,730 as dealers begin to wind down ahead of the long Lunar New Year break.

Sydney climbed 0.6 percent, Singapore jumped more than 1 percent and Seoul was up 0.4 percent.

Jakarta, Manila, Bangkok and Wellington were also well up.

While some stability has returned to trading floors, Asian investors are keeping a nervous eye on the release this week of key US inflation data, which many fear could spark another round of blood-letting.

There are also warnings that the yield on US T-bills could spike to 3.5 percent, according to Bloomberg News, which would mark a level not seen since 2010. (AFP)