Asian Shares Rise as UN Tightens Sanctions on North Korea

By Investors Hub

Most Asian stocks rose on Monday after the better than expected U.S. jobs data generated optimism about growth in the world’s largest economy.

Investors also awaited Pyongyang’s response after the U.N. Security Council unanimously approved tough new sanctions Saturday to punish North Korea for its escalating nuclear and missile programs.

The Japanese yen weakened against the dollar and oil retained most of Friday’s gains while gold remained under selling pressure to hover near two-week lows.

China’s Shanghai Composite Index reversed early losses to close 17.46 points or 0.5 percent higher at 3,279.54. Hong Kong’s Hang Seng Index climbed 127.68 points or 0.5 percent to 27,690.36.

Japanese shares rose as the yen weakened on the upbeat U.S. jobs data and Toyota raised its earnings outlook. The Nikkei 225 Index closed 103.56 points or 0.5 percent higher at 20,055.89, while the broader Topix Index rose 0.5 percent to 1,639.27, the highest level since August of 2015.

Toyota Motor climbed 2 percent after the automaker raised its full-year guidance, citing favorable exchange rates. Suzuki Motor rose 1.1 percent and Mazda Motor advanced 1.4 percent.

Toshiba Corp shares jumped 5.9 percent on reports that its auditor will sign off on its financial results for the year ended March, helping lessen the risk of a delisting.

Australian shares rose sharply to snap a three-session losing streak as higher commodity prices lifted resource stocks and separate surveys on job advertisements and construction activity painted a positive picture of the economy.

The benchmark S&P/ASX 200 Index advanced 53 points or 0.9 percent to 5,773.60, while the broader All Ordinaries Index finished up 51.20 points or 0.9 percent at 5,824.50.

Miners BHP Billiton, Rio Tinto and Fortescue Metals Group rallied 2-3 percent, and energy majors Woodside Petroleum, Origin Energy, Beach Energy, Oil Search and Santos rose 1-4 percent.

Financials also recovered from last week’s losses, with the big four banks rising between 0.8 percent and 1.3 percent.

Meanwhile, Casino operator Crown Resorts tumbled 4.3 percent to extend Friday’s losses on a brokerage downgrade.