Asian stocks advanced Friday, led by gains in Hong Kong-listed technology companies amid a buoyant tone in markets as traders look to the Federal Reserve to pause interest rate hikes in June.
Shares also climbed in Japan, Australia and mainland China, while US futures ticked up following rallies for the S&P 500 and the Nasdaq 100 Thursday.
A renewed surge in tech giants fueled the moves on Wall Street ahead of jobs data that’s projected to show a slowdown. News that Congress had passed legislation to avert a US default added to the buoyant mood.
Hong Kong’s Hang Seng index rose more than 3%, pulling the benchmark back from the brink of a bear market following concerns about Chinese growth. Despite stronger-than-expected manufacturing figures Thursday, and the gains in Hong Kong equities Friday, investors remain cautious on the outlook for China.
“There was too much hype in the economic data and in Chinese equities starting at the end of November last year,” Daniel Lam, head of equity strategy for Standard Chartered Wealth Management, said in an interview with Bloomberg Television.
“People have to be a bit patient. You have to wait for economic expectations to go lower.” -BLOOMBERG
