Asian stocks rose after Wall Street’s S&P 500 record

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Stocks in Asia-Pacific rose mainly after Wall Street’s S&P 500 hit a record high, with the US index now recouping all losses suffered since the start of the coronavirus pandemic.

South Korea’s Kospi Index gained 0.8% early in Wednesday’s session, while Australia’s S & P / ASX 200 climbed 1.1%. Japan’s benchmark Topix index rose 0.1 percent.

In China, the CSI 300 fell 0.8% to put the gauge of Shanghai and Shenzhen listed stocks on track to break three days of gains as tensions with the US weighed on tech stocks. The Hong Kong Stock Exchange was closed Wednesday morning due to a typhoon.

The S&P 500 Index hit an intraday high on Tuesday, eclipsing its previous high in February before concerns over Covid-19 triggered a global rout. The US stock index also set a closing record.

The strong rebound in U.S. equities over the past five months, despite lingering economic damage from the pandemic, has rekindled fears about the disconnect between Wall Street and Main Street.

The disproportionate concentration of earnings among large tech groups also raised concerns about the rally’s sustainability.

“The outperformance of the most important and less economically sensitive stocks – as well as the gains of safe-haven assets – further evidence that markets are still skeptical about the sustainability of the economic recovery,” said Solita Marcelli, Chief Investment Officer for the Americas at UBS. Global asset management.

The dollar was flat in Asian trade after falling for a fifth consecutive day to a two-year low on Tuesday. The greenback rose 0.1% against a basket of its peers on Wednesday, while gold fell 0.4% to $ 1,993.04 per troy ounce.

Futures on the S&P 500 rose 0.1% while those on London’s FTSE 100 rose 0.2%.

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