Asian Shares Advance As UK U-turn On Fiscal Plans Brings Relief

(RTTNews) - Asian stocks ended broadly higher on Tuesday, though Chinese markets slipped after the country delayed the release of its latest economic growth figures along with other key economic indicators amid the week-long 20th Communist Party National Congress.

Investors heaved a sigh of relief after Britain's new finance minister announced a comprehensive retreat on the U.K. government's tax-and-spending plans on Monday in a bid to calm jittery markets and restore the government's credibility.

China's Shanghai Composite index slipped 0.13 percent to 3,080.96 amid renewed concerns over the zero-COVID policy and a U.S. semiconductor blockade.

BYD jumped 5 percent after the electric vehicle maker said its third-quarter profit may surge up to 365 percent. Hong Kong's Hang Seng index rallied 1.82 percent to 16,914.58.

Japanese markets rallied, led by gains among exporters, financials and transport stocks. The Nikkei average climbed 1.42 percent to 27,156.14 while the broader Topix index closed 1.16 percent higher at 1,901.44.

Toshiba Corp fell over 1 percent following reports that some global banks have turned cautious over backing large buyouts due to rising borrowing costs in the United States and elsewhere.

Seoul stocks posted strong gains ahead of quarterly earnings of major companies including Hyundai Motor, due this week. The Kospi average gained 1.36 percent to finish at 2,249.95. Hyundai Motor shares rose 0.6 percent while SK Telecom added 2.5 percent and Korea Gas Corp surged 4 percent.

Australian markets advanced as minutes from the Reserve Bank of Australia's (RBA) last meeting showed the central bank's decision to reduce the size of the interest rate rises was "finely balanced."

Separately, RBA Deputy Governor Michele Bullock said in a speech to a finance industry conference that there is still a path for the country to avoid going into recession and preserve most of the gains in employment.

The benchmark S&P/ASX 200 rallied 1.72 percent to 6,779.20, with tech companies, gold miners and financials leading the surge. The broader All Ordinaries index closed up 1.78 percent at 6,976.20.

Global miner Rio Tinto ended on a flat note after forecasting annual iron ore shipments at the lower end of its guidance. St. Barbara shares plummeted 21.6 percent after the gold miner cut production guidance and deferred capital expenditures on major projects by a year.

Across the Tasman, New Zealand's benchmark NZX-50 index rose 0.57 percent to 10,847.34 as Q3 inflation smashed expectations and boosted the case for hawkish rate hikes.

U.S. stocks rose sharply overnight as Treasury yields pulled back and Bank of America raised its annual outlook for revenue.

The Dow climbed 1.9 percent, the S&P 500 jumped 2.7 percent and the tech-heavy Nasdaq Composite soared 3.4 percent.