Asian shares firm as investors anticipate upbeat U.S. earnings
Asian shares advanced on Monday backed by investors’ confidence over U.S. earnings. Investors heavily anticipate a prosperous earnings season, with most companies expected to surpass forecasts now that outlooks had been lowered by COVID-19 lockdowns.
MSCI’s broadest index of Asia-Pacific shares outside Japan rallied with a 0.15% gain. This followed after a five-month high record last week brought by an increase in Chinese stocks.
Japan’s benchmark index Nikkei jumped 1.3% as South Korea hiked 0.9%. E-mini futures for the S&P 500 jumped 0.2% despite an increase in new coronavirus cases monitored in some parts of the U.S.
Technology stocks were seen struggling even as bank shares recorded a sharp gain on Friday. In addition to this, analysts at the Bank of America noted that tech outperformance in the past six months was the strongest record since 1999 and 2008.