On April 28, 2023, Asian stock markets saw gains after the Bank of Japan (BOJ) decided to keep its monetary policy steady, calming investors’ fears of tightening. The move led to an optimistic market sentiment as Asian shares closed higher.
In Australia, the S&P/ASX 200 rose by 26.00 points or +0.36% to close at 7,318.70, while the All Ordinaries gained 27.50 points or +0.37% to close at 7,509.70, driven by buying pressure in technology and banking stocks. The Reserve Bank of Australia’s (RBA) expected decision to hold interest rates at its upcoming meeting next week also boosted market confidence.
In Japan, the Nikkei closed at an eight-month high of 28,856.44, up 398.76 points or +1.40%. The BOJ’s release of inflation expectations that were lower than Japan’s target further supported the gains.
China’s Shanghai Composite closed up by 37.39 points or +1.14% at 3,323.27 points, while investors eagerly anticipate China’s economic data to be released tomorrow, including the Purchasing Managers’ Index (PMI) Manufacturing and Service Sector for April.
South Korea’s Composite Index (KOSPI) closed consecutively higher at 2,501.53 points, up 5.72 points or +0.23%, as investors bought stakes in chip makers and technology platforms. Market optimism was driven by hopes of promising earnings from these companies, even in the face of an economic recession. The won also strengthened against the US dollar.
Hong Kong’s Hang Seng closed up at 19,894.57 points, up 54.29 points or +0.27%, supported by the Dow Jones Industrial Average’s more than 500-point surge on Thursday (April 27) and the Nasdaq Index’s over 2% jump in response to the bright performance of listed companies.
Overall, Asian stock markets experienced positive momentum after the BOJ’s decision to maintain its monetary policy, signaling stability in the region’s economy.