Asian Shares Climb As US Senate Passes Bill To End Shutdown

(RTTNews) - Asian stocks advanced on Monday after the U.S. Senate voted 60-40 to end the longest-running government shutdown, which entered its 40th day on Sunday.

The bipartisan legislation, which would fund most federal agencies through January and guarantee back pay for federal employees affected by the closure, would now go to the House of Representatives for consideration.

Sentiment was also underpinned after weekend data showed China's producer price deflation eased in October while consumer prices returned to positive territory.

China's Shanghai Composite index rose 0.53 percent to 4,018.60 as the latest inflation data helped ease deflation worries.

Data showed China's consumer price inflation unexpectedly rose 0.2 percent in October after a 0.3 percent decline in the previous months. Analysts had expected no change.

Producer prices shrank 2.1 percent last month, marking the softest decrease in 14 months.

Some analysts have cautioned that the surprise uptick in CPI was mostly boosted by October's national day holiday spending and could be temporary.

Hong Kong's Hang Seng index jumped 1.55 percent to 26,649.06 as technology stocks rebounded from last week's sell-off on valuation concerns.

Japanese markets ended sharply higher, led by gains in the technology sector.

SoftBank Group rallied 2.6 percent, Tokyo Electron surged 4.3 percent and Advantest added 3.8 percent.

Automaker Honda Motor slumped 4.7 percent after cutting its annual earnings forecast. The Nikkei average climbed 1.26 percent to 50,911.76 while the broader Topix index settled 0.56 percent higher at 3,317.42.

Seoul stocks soared on renewed optimism over AI and expectations of tax cuts. The Kospi average jumped 3.02 percent to 4,073.24.

Samsung Electronics rallied 2.8 percent and SK Hynix surged 4.5 percent after Nvidia CEO Jensen Huang said that the semiconductor giant is experiencing "very strong demand" for its state-of-the-art Blackwell chips.

Hyundai Motor, Doosan Enerbility and HD Hyundai Heavy Industries rose 2-3 percent.

Australian markets ended notably higher amid a strong rally in gold, energy and bank stocks. The benchmark S&P/ASX 200 rose 0.75 percent to 8,835.90, notching its best single-day gain in nearly a month. The broader All Ordinaries index closed 0.86 percent higher at 9,109.40.

Earlier in the day, Reserve Bank of Australia Deputy Governor Andrew Hauser stated that the central bank aims to curb inflation with restrictive policy and that interest rates may drop by late 2025.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index edged up by 0.13 percent to 13,617.48.

The dollar softened in Asian trade, helping lift gold prices up nearly 2 percent to $4,080 an ounce. Oil prices also opened the week on a firm note.

U.S. stocks rebounded from day's lows to end mixed on Friday as new economic data added to worries of an economic slowdown.

A survey from the University of Michigan revealed that consumer sentiment has neared its lowest level ever in November due to the ongoing federal government shutdown.

Markets came off their lows after top Senate Democrat Chuck Schumer offered to provide Democratic support for passage of a short-term funding bill to reopen the government in exchange for Republican support for a one-year extension of enhanced Obamacare tax credits.

The Dow edged up by 0.2 percent and the S&P 500 added 0.1 percent while the tech-heavy Nasdaq Composite slid 0.2 percent, pressured by more pressure in artificial intelligence stocks.