Asia-Pacific markets closed mostly higher, Nikkei rose amid Japanese elections

Major stock exchanges in the Asia-Pacific region (APR) ended trading on Friday mostly with growth, the Japanese Nikkei index rose on investor confidence in the victory of incumbent Japanese Prime Minister Shinzo Abe’s bloc in early parliamentary elections, according to trading data.

As a result of trading, the index of the Shanghai Stock Exchange Shanghai Composite rose by 0.13% — to 3390.52 points, the Shenzhen Shenzhen Composite — by 0.66%, to 2036.81 points. The Hong Kong Hang Seng Index rose 0.06% to 28476.43 points, while the Korean KOSPI dropped 0.05% to 2473.62 points. Australian index S & P / ASX 200 increased by 0.34%, to 5814.2 points, Japanese Nikkei 225 — by 0.96%, to 21155.18 points.

The Japanese Nikkei index rose amid traders’ confidence in the victory in the upcoming early elections to the lower house of parliament of the political bloc, which includes, among other things, the ruling Liberal Democratic Party of Japan, whose leader is the current Prime Minister Shinzo Abe.

Late last month, Abe dissolved the Japanese House of Representatives for early elections on October 22.

At the center of the political struggle are the newly formed Party of Hope, led by Tokyo Governor Yuriko Koike and the Reformation Party of Japan. It is this force that will become the main intrigue of the upcoming elections. She will compete for victory with the ruling coalition of the Liberal Democratic Party and the Komeito Party, as well as the leftist Constitutional Democratic Party.

Abe’s victory will provide investors with confidence that his national economic development program will continue. Abe supports the course of «cheap» money, advocates high budget expenditures, and also intends to implement a number of structural reforms in the country.

Leave a Reply

Your email address will not be published. Required fields are marked *