Asian stock markets are trading higher on Wednesday with investors tracking positive cues from Wall Street and picking up stocks. A surge in commodity prices and hopes about a likelihood of a resolution to the Greek debt crisis too are aiding sentiment to a notable extent. Though some of the markets in the region have come off their highs, the mood remains fairly upbeat at present.
Mining and energy stocks are leading the charge up north in the Australian market. Stocks from consumer staples, information technology and healthcare sectors too are mostly trading higher.
The benchmark S&P/ASX 200 index, which rose to 4,534, is now up 49.6 points or 1.1 percent at 4,523.9. The broader All Ordinaries index is up 47.8 points or 1 percent at 4,571, a few points off the day's high of 4,582.3.
Top miners BHP Billiton and Rio Tinto are gaining 2 percent and 1.7 percent respectively.
Atlas Iron is up as much as 6.6 percent. Lynas Corporation, Alumina, Paladin Energy, Aquarius Platinum, Bluescope Steel, Fortescue Metals, Macarthur Coal and Orica are also up with strong gains.
Energy stocks Woodside Petroleum, Santos, Oil Search and Origin Energy are up 1.5 to 3 percent.
Among bank stocks, ANZ Bank, Commonwealth Bank of Australia, National Australia Bank and Westpac are up with notable gains. Bank of Queensland is gaining 1.7 percent, while Bendigo & Adelaide Bank is down marginally.
James Hardie Industries, WorleyParsons, Lend Lease, Sonic Healthcare, Myer Holdings and Boart Longyear are up with impressive gains.
Transfield Services Ltd and Veolia Transdev are bidding together to run Sydney's ferry service. Transfield shares are trading 0.6 percent up at present.
In the currency market, the Australian dollar opened notably higher amid growing optimism the Greek parliament will pass its proposed tax hikes and spending cuts. In early trades, the Aussie was quoting at US$1.0541, up from Tuesday's close of US$1.0446. The Australian dollar is currently trading at 1.0526 to the U.S. dollar.
The Japanese stock market moved higher with investors indulging in some brisk buying amid hopes Greece will implement the proposed austerity measures and avoid a default. A fairly encouraging report on industrial production for the month of May, a surge in commodity prices and the overnight rise on Wall Street also are contributing to the upmove.
The benchmark Nikkei 225 index, which rose to around 9,780 in early trades, was up 96.7 points or 1 percent at 9,745.7.
Electric power stocks were up sharply following reports about a possible change in Tokyo Electric Power's compensation bill. Tokyo Electric Power shares were up nearly 4 percent. Oki Electric was gaining over 4 percent, Chubu Electric Power was up almost 4 percent and Kansai Electric Power was gaining about 3.5 percent.
Japan Tobacco, Nippon Sheet Glass, Yahoo Japan, Sumitomo Metal, CSK Corp., Sumco, Mitsubishi Materials, Mitsui Chemicals, Yokohama Rubber, Sharp Corp. and Tokio Marine were up 2 to 3.75 percent.
Kawasaki Heavy Industries, Bridgestone, Mitsubishi Logistics, Dentsu, JX HD, Toshiba Corp, Canon, Mitsui OSK Lines and Inpex were also trading notably higher. Fast Retailing, J Front Retailing, Advantest and Astellas Pharma posted strong gains as well.
Among banks, Mizuho Financial, Chiba Bank, Shinsei Bank and Bank of Yokohama were trading notably higher. In the automobile sector, Honda Motor, Mitsubishi Motor, Nissan Motor, Suzuki Motor and Toyota Motor were trading in positive territory with impressive gains.
Kyocera Corp. gained 1.5 percent. The company will pay about 20 billion yen or $247 million to acquire Unimerco A/S, a Danish maker of carbide tools for components used in car and airplane engines, aiming to boost its sales in Europe.
On the economic front, Japan's industrial output rose more than expected in May, the Ministry of Economy Trade and Industry reported Wednesday. METI said industrial production was up 5.7 percent in May compared to April. The result was better than the median economists' estimate of a 5.5 percent increase.
METI said the figure indicates Japan's economy is recovering from the disruptions of the March 11 earthquake and tsunami. Industrial production in April rose just 1.6 percent. METI said higher output of automobiles and communications devices led the May gains.
In the currency market, the U.S. dollar traded at the lower 81 yen level in early deals in Tokyo. The yen is currently trading at 81.02 to the U.S. dollar.
Among other markets in the Asia-Pacific region, Indonesia, South Korea and Taiwan are up with notable gains. Hong Kong, Malaysia, New Zealand and Singapore are also trading firm, while Shanghai is trading modestly lower. Markets across the region ended mostly higher on Tuesday.
On Wall Street, stocks moved higher on Tuesday amid optimism about a resolution to the the Greek debt crisis. Betting on hopes the Greek parliament will vote in favor of a package of austerity measures, investors indulged in some hectic buying during the day.
The major averages ended the day just off their best levels of the session. The Dow jumped 145.1 points or 1.2 percent to 12,188.7, the Nasdaq surged 41 points or 1.5 percent to 2,729.3 and the S&P 500 ended up 16.6 points or 1.2 percent at 1,296.7.
Major European markets ended with strong gains on Tuesday. The French CAC 40 index gained 1.5 percent, while the U.K.'s FTSE 100 index and the German DAX index ended higher by 0.8 percent and 0.9 percent respectively.
Crude oil prices surged higher amid expectations about a solution to Greece's financial woes. A weak dollar too aided the upmove to an extent. Light, sweet crude for August delivery ended up $2.28 or 2.5 percent at $92.89 a barrel on the New York Mercantile Exchange.
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May 08, 2026 15:50 ET Manufacturing and services sector survey results and labor market data from main economies were the highlight on the economics news front this week. Factory orders and jobs report dominated the news flow in the U.S. Similarly, industrial production data from German garnered attention in Europe. In Asia, purchasing managers’ survey results from China and the central bank decision from Australia were in focus.