Chinese tech jumps; Australian mining stocks rise

SINGAPORE — Asia-Pacific stocks mostly rose in early trade Wednesday, as optimism continued to drive U.S. stocks, with the S&P 500 and Nasdaq reaching record highs overnight.

Chinese stocks were mixed in early trade. Hong Kong’s Hang Seng index jumped 0.83%, after soaring more than 2% in the previous session.

Chinese tech stocks listed in Hong Kong also continued to rise, building on their Tuesday rallyTencent shares jumped about 3%, food delivery giant Meituan shot up around 6%. JD.com popped over 6%, while Alibaba rose 1.32%.

Mainland Chinese markets, on the other hand, were subdued. The Shanghai composite was just above the flatline, and the Shenzhen component was down 0.34%.

On Tuesday, the country’s cybersecurity regulator said Chinese companies that wish to go public — including those planning to list overseas — must comply with two main aspects of a wider set of regulations. Those remarks come as policy uncertainty this summer has essentially halted Chinese listings in the U.S., after a surge in overseas offerings earlier this year.

Other Asia-Pacific markets rise

The Nikkei 225 in Japan was up 0.35%, while the Topix jumped 0.39%.

Over in South Korea, the Kospi rose 0.42%.

In Australia, the S&P/ASX 200 was up 0.24%.

Iron ore prices soared, giving mining stocks a boost. They shot up almost 9% on Tuesday, according to Vivek Dhar, commodities analyst at Commonwealth Bank of Australia.

Mining stocks in Australia jumped in the morning. Rio Tinto jumped 3.16%, and Fortescue Metals spiked 3.14. BHP was up 1.48%.

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Optimism from the full Food and Drug Administration approval of the Pfizer Covid vaccine continued to lift U.S. markets overnight.

The Dow Jones Industrial Average rose 30.55 points, or less than 0.1%, to 35,366.26. The S&P 500 added 0.1% to a new closing high of 4,486.23. The Nasdaq Composite gained 0.5% to 15,019.80, also a new closing high.

Chinese stocks led the Nasdaq as investors gain more clarity on China’s regulatory outlook and buy shares of names that have taken a beating lately. 

“Markets are still basking in the glow of the Pfizer/BioNTech vaccine having received regulatory approval on Monday, which is paving the way for organisations to mandate vaccines for workers and thus lift vaccination rates higher,” Tapas Strickland, director of economics and markets at the National Australia Bank, wrote in a note.

“China’s delta outbreak also appears to be under control with two consecutive days of no new domestic cases … while the PBoC vowed to boost credit support for smaller businesses and the real economy,” he said.

Oil prices pare gains

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