Japan's two benchmark indexes advanced to fresh record highs, the yen dropped to a one-year low, and the yield on 10-year government bonds advanced to the highest level since 1999.
Japan's indexes soared as much as 3%, and the yen drifted to a new one-year low, and investors returned from a three-day weekend. The yield on 10-year Japanese government bonds advanced to 2.1%, the highest since 1999.
China's inflation reports confirmed an ongoing economic slowdown amid weak domestic demand. Three new issues started trading in Hong Kong, driven by a sustained demand from foreign investors.
Three new issues priced their initial public offering and raised a total of HK $9 billion in gross proceeds. The parent company of z.ai became the first pure-play Chinese developer of AI models on the Hong Kong Exchange.
Trade tensions flared up between Japan and China, and Beijing placed additional restrictions on goods shipments to Japan with a potential military use.
Defense, financial services providers, and technology stocks dominated trading in Tokyo for the second consecutive session this week, as investors shrugged off rising tensions between Japan and China and in South America.
Technology and mining stocks led the broader market advance for the second consecutive session in China and Hong Kong, driven by renewed buying from foreign investors.
Japan's benchmark soared on the first day of trading as investors caught up with geopolitical events over the weekend and last week's tech rebound in New York.
