Sino-US Trade Hopes See Hang Seng Rise On Open

The local bourse jumped in the first few minutes of business, boosted by renewed hopes for trade talks between China and the United States.

The Hang Seng Index climbed 1.01 percent, or 260 points, to 25,994. at the open.

On the mainland the Shanghai Composite Index added 0.41 percent, or 11 points, to 2,835, while the Shenzhen Composite Index gained 1.10 percent, or 17 points, to 1,542.

Tokyo also opened higher, tracking rallies on Wall Street with all eyes on key events this week including a speech by the US Federal Reserve chief.

The Nikkei 225 was up 0.90 percent, or 182 points, at 20,601 in early trade, while the broader Topix index climbed 0.68 percent, or 10 points, to 1,495.

Shuji Hosoi, senior strategist at Daiwa Securities said investors will be closely watching US Federal Reserve chairman Jerome Powell's speech when he opens the central bank's annual Jackson Hole symposium later this week.

"The focus is on whether any sense of the Fed's policy direction, such as prospects of rate hikes, will be provided to address uncertainties over the global economy."

Other key events this week include US corporate earnings reports, mooted Japan-US ministerial trade talks in Washington, and US housing sales data, he noted.

Analysts also pointed to news that Washington and Beijing are working to revive trade talks as a positive factor for the Japanese market.

The dollar fetched 106.39 yen in early Asian trade, against 106.36 yen in New York on Friday.

In Tokyo, banks were among the winners, with Mitsubishi UFJ Financial trading up 1.02 percent at 503.9 yen and Mizuho Financial up 0.65 percent to 154.8 yen.

Carmakers also gained, with Nissan edging up 0.32 percent to 660.9 yen and Toyota trading up 0.82 percent at 6,846 yen. (AFP)