Asian stocks rise, driven by “reopening optimism”

Hong Kong Hang Seng Index (HSI) rose nearly 1.6%, increasing Monday’s earnings. China Shanghai composite (SHCOMP) increased by 0.7%.

South Korea Kospi index (KOSPI) rose by about 1.3% in Japan Nikkei 225 (N225) increased by 2.2%.

In Hong Kong, investors are moving from last week’s heavy losses. On Friday, Hang Seng had its worst day in nearly five years after Beijing moved to pass a controversial national security law, a blow to the financial center’s autonomy.

On Monday evening, the commissioner of the Chinese Foreign Ministry in Hong Kong, Xie Fang, reassured himself to reassure investors. Legislation will not affect freedom of speech, press, publication and assembly, Xie said, second to the state news agency Xinhua.

Xie added that the controversial legislation will protect the legal functioning of international businesses in Hong Kong.

“The clouds of dust in Hong Kong have stabilized faster than expected. Local risk sentiment is not as gnarled as everyone feared,” AxiCorp global market strategist Stephen Innes wrote in a statement on Tuesday.

There is also a sense of “reopening optimism” among investors, Innes said. They are optimistic about the blockages in the United States and elsewhere that end.

In Japan, Prime Minister Shinzo Abe on Monday lifted the state of emergency for the entire nation as the coronavirus outbreak subsides.

Abe is also studying a new stimulus package, saying he would work to increase the government’s stimulus packages to over 200 trillion yen ($ 1.9 trillion), or about 40% of the third largest economy’s annual output. world.

Dow futures rose more than 330 points. S&P futures increased by almost 1.4% and Nasdaq futures increased by approximately 1.5%.