TOKYO — Asian shares rose Friday after U.S.
Hong Kong’s Hang Seng added nearly 0.2% to 22,941.59, while the Shanghai Composite rose 0.8% to 3,456.39.
Earlier in the week, Japan suspended new issuances and distribution of Russian government bonds in Japan, aimed at reducing funding opportunities for Russia.
“The market pivot came after the announcement of retaliatory measures towards Russia overnight, with the U.S.
Beyond its tragic human toll, the conflict looked set to send prices even higher at gasoline pumps and grocery stores around the world as prices for oil, wheat and corn soared.
The higher cost of gas is likely to further damage Asian economies, already reeling from the coronavirus pandemic.
On Wall Street, the S&P 500 rallied 1.5% after erasing an early 2.6% loss, while the Nasdaq staged an even bigger comeback to end with a gain of more than 3%.
In the past, the Fed has sometimes delayed big policy decisions amid uncertainty over geopolitical events such as the Kosovo war and the U.S.
With expectations falling for a bigger-than-usual increase in rates, stocks that tend to benefit the most from low interest rates led the way for indexes to pare their losses through the day.
It was a remarkable turnaround after the Nasdaq was on track during the morning to close 20% below its record high for the first time since the coronavirus pandemic collapsed the economy in 2020.
“We’re seeing some attempt at bottom-fishing here in terms of prices,” said Haworth.
The Dow Jones Industrial Average, which isn’t as influenced by big tech stocks, rose a more modest 92.07 points, or 0.3%, to 33,223.83.
Huge swings also rocked the bond market, where yields initially sank as money moved into investments that looked to offer safer returns than stocks.