Hong Kong Stocks Start The Week With A Jump

Hong Kong stocks jumped on Monday following a strong lead from Wall Street where investors welcomed a forecast-busting jobs report.

The Hang Seng Index climbed 1.7 percent, to 30,997.

On the mainland, the Shanghai Composite Index gained 0.5 percent, to 3,091 and the Shenzhen Composite Index rose 0.1 percent, to 1,747.

In Japan, the Nikkei 225 index closed up 1.4 percent, at 22,475.

Sydney rose 0.6 percent, Seoul gained 0.4 percent and Taipei put on 1.5 percent, with Singapore more than 1 percent higher.

Despite this positive start, there are lingering worries about a possible global trade war after the US hit Canada, Mexico and the European Union with steel and aluminium tariffs.

Focus is turning to a Group of Seven summit in Quebec later in the week, where US President Donald Trump is expected to go head-to-head with other world leaders over the levies, while China has warned Washington off imposing any measures against it.

The US dollar also built on Friday's surge against the yen as the strong jobs report also lifted expectations for another interest rate hike by the Federal Reserve next week.

The euro held its gains after Italy's populist parties agreed to form a government, ending days of uncertainty that had fuelled fears of another election that would essentially be considered a referendum on its euro future. (AFP)