Nikkei 225 Index hits record close, Hang Seng Index surges by 1.4 pct: analyst

Stock markets in Japan and China's Hong Kong rallied on Tuesday, with the Nikkei 225 Index closing at a record high and the Hang Seng Index surging by close to 1.4 percent, according to Timothy Pope, a financial market analyst for China Global Television Network (CGTN),

The Hang Seng Index was up 1.38 percent to close at 26,710.45 points, while the Nikkei 225 Index ended at a record high of 52,518.08, up 1.32 percent on the day.

"It's a very similar story in Hong Kong to the Chinese mainland. The Hang Seng [Index] today added a little bit less than 1.4 percent. The market there has only just closed, and the closing numbers are still settling, but the big winners in Hong Kong today were metals and real estate companies. Gold, as I said, is trading high. Last time I checked it was at around 4,465 U.S. dollars an ounce which is less than 100 dollars away from its record peaks. So, gold companies are doing well in Hong Kong as well. Zijin Mining [Group Limited] again, up around 5 percent -- one of the biggest gainers on the Hang Seng [Index]. One thing that analysts have been pointing out is that despite the fact that the Hang Seng gained more than 27 percent last year, valuations on that index are still a little bit below 'like-listings' that we've seen in Tokyo and Shanghai. I think it's something like 1.2 times book value for Hong Kong and around 1.5 times book value in Shanghai. So, that makes these stocks look like a bit of a better deal and potentially gives the rally a little bit more headroom in Hong Kong. But again, we see that clear theme for the rally: AI with a sprinkling of commodities and financial stocks today," Pope said.

"That was true even in Tokyo. I think the Nikkei 225 also hit a record close today, up 1.3 percent. It closed around 52,518. There's some good feelings about corporate profits in Japan and also the Japanese flip from deflation to inflation after so long spent in deflationary territory, and thus we've also got the BOJ's stance on rates. Now, according to Japanese brokerage firms, all that is making the Tokyo markets more attractive to domestic Japanese investors again. Today the big AI-linked shares like Advantest continued to really power the market -- it was up 1.8 percent. But the banks were up, too. The higher interest rate environment obviously is going to be helping their bottom lines," he said.

Nikkei 225 Index hits record close, Hang Seng Index surges by 1.4 pct: analyst

China's Minister of Commerce Wang Wentao outlined the key priorities of the 32nd Asia-Pacific Economic Cooperation (APEC) Ministers Responsible for Trade Meeting, which opened on Friday in Suzhou, East China's Jiangsu province.

In an interview with CGTN ahead of the two-day meeting, Wang said free trade, digital cooperation and green economy are high on the agenda of the meeting.

"The key areas include advancing regional economic integration and the Free Trade Area of the Asia-Pacific, supporting the World Trade Organization (WTO) in strengthening digital cooperation and developing green economy. At present, the international situation is marked by intertwined turbulence and chaos, with intensified geopolitical instability. The rise of unilateralism and protectionism poses serious challenges to the international economic and trade order, disrupting global and Asia-Pacific development. Against this backdrop, all parties have higher expectations for this trade ministers' meeting, hoping that it can build consensus and deliver outcomes," Wang said.

This year marks China's third time hosting the APEC meetings and the 35th anniversary of its membership.

By 2025, China had become the largest trading partner of 13 APEC economies. Trade between China and APEC economies reached 3.7 trillion U.S. dollars, accounting for 57.8 percent of China's total foreign trade.

China has signed 24 free trade agreements or economic and trade arrangements with 31 countries and regions, including 15 APEC economies. In recent years, China has also completed upgrades of free trade agreements with APEC economies such as Singapore and Peru.

The minister said that China has always been a firm supporter and an important contributor to APEC.

"We have actively shared our vast market and development opportunities with all parties. China's door to the world will only open wider and wider. Facing the common challenges, China will continue to fulfill its responsibilities as a major country, further deepen reform, expand high-standard opening-up, and continue to provide new opportunities for the Asia-Pacific region and the world with its new achievements in Chinese modernization," the minister said.

China's Commerce Minister outlines priorities for 32nd APEC trade ministers' meeting