Asian Shares Climb On Trade Talk Optimism

(RTTNews) - Asian stocks advanced on Wednesday after top U.S. and Chinese officials said they have reached a framework to implement the Geneva consensus, following two days of discussions in London.

Regional gains, however, were capped as investors awaited the details of the outcome of trade talks and looked ahead to the release of U.S. consumer inflation data later in the day for direction.

A muted dollar helped lift gold prices higher while oil prices were little changed in Asian trade.

China's Shanghai Composite index gained 0.52 percent to close at 3,402.32, with automakers rising after pledging to shorten payment terms for suppliers. Hong Kong's Hang Seng index jumped 0.84 percent to 24,366.94, with EV and tech stocks leading the surge.

Japanese markets rose as new data showed wholesale inflation slowed in May, easing pressure on the Bank of Japan to raise interest rates in its next policy board meeting.

The Nikkei average climbed 0.55 percent to 38,421,19, extending gains for a fourth straight session. The broader Topix index settled marginally higher at 2,788.72.

Seoul stocks rallied to over three-year high after President Lee Jae-myung said the government was preparing to revamp the country's tax system as part of a broader push to make the domestic stock market more attractive.

Investors also cheered data that showed unemployment rate the country remained at 2.7 percent for a second consecutive month, in line with market expectations.

The Kospi average jumped 1.23 percent to 2,907.04, marking the highest level since January 14, 2022. SK Hynix surged 4.1 percent and Hyundai Mobis soared 4.9 percent.

Australian markets gave up early gains to end marginally higher at a four-month peak, with real estate, mining and energy stocks pacing the gainers. Across the Tasman, New Zealand's benchmark S&P/NZX-50 index rose 0.33 percent to 12,605.93.

U.S. stocks eked out modest gains overnight after Commerce Secretary Howard Lutnick said the U.S.-China trade negotiations went really, really well.

The S&P 500 climbed 0.6 percent to end higher for a third day running while the Dow added 0.3 percent and the tech-heavy Nasdaq Composite gained 0.6 percent.