Hong Kong Stocks Rise, Tokyo Steams Ahead

Hong Kong stocks rose again on Wednesday as hopes built for key US-China trade talks after President Donald Trump suggested extending his tariff deadline.

The Hang Seng Index gained 1.2 percent, to 28,497.

On the mainland, the Shanghai Composite Index closed 1.8 percent higher, to close at 2,721 while the Shenzhen Composite Index climbed 1.9 percent, to 1,389.

Tokyo added a further 1.3 percent after Tuesday's gains to finish at a two-month high.

Elsewhere Sydney shed 0.3 percent, with calls for a snap election amid political tensions over refugees adding to underwhelming corporate earnings and subdued metal prices.

The New Zealand dollar soared 1.5 percent as the central bank held interest rates unchanged and forecast no moves until 2021 – stumping expectations it may follow dovish leads elsewhere by indicating a rate cut.

Renewed global investor confidence saw a movement away from the greenback – which has enjoyed a strong rally in the past week – to riskier currencies.

The pound moved upwards past US$1.29, despite no-deal Brexit fears as Prime Minister Theresa May was accused by the opposition of "running down the clock" and "playing chicken" with Brussels over talks.

The yuan also earned back losses after it had dropped following the Lunar New Year break. (AFP)