On Friday, Hong Kong’s markets led the gains in Asia, while Japan’s Nikkei 225 reached a new 34-year high in its attempt to reach its all-time peak.
At its intraday high of 38,863.69, the Nikkei was just under 100 points away from its record high.
However, the index relinquished its earlier gains to close 0.86% higher at 38,487.24. This came after Japan lost its position as the world’s third-largest economy to Germany and announced a technical recession.
Despite Japan’s economic slowdown, there are hopes that it may maintain its ultra-loose monetary policy for an extended period.
This is despite reported concerns from the country’s finance minister regarding the weakness of the yen. Elsewhere in the Asia-Pacific region, markets rose on Friday, following the gains seen on Wall Street, with the S&P 500 achieving a new record high.
Hong Kong’s Hang Seng index surged by 2.41%, whereas mainland Chinese markets remained closed for the Lunar New Year holidays.
Meanwhile, in Australia, the S&P/ASX 200 increased by 0.69%, closing at 7,658.3, while South Korea’s Kospi rose by 1.27% to conclude at 2,624.73.
Additionally, investors are anticipating the release of Singapore’s 2024 budget, scheduled for later in the day. Overnight in the U.S., all three major indexes concluded the trading session in positive territory, recovering from the significant losses earlier in the week.
The S&P 500 surged by 0.58%, reaching 5,029.73, marking a new record high. Similarly, the Nasdaq Composite increased by 0.30%, closing at 15,906.17. The Dow Jones Industrial Average experienced a gain of 348.85 points, representing a 0.91% rise, concluding at 38,773.12.
