Investing.com - Asian shares posted gains on Wednesday as sentiment held solid despite a nuclear weapons taunt by President Donald Trump on Twitter directed at North Korean leader Kim Jong-un.
In Australia, the S&P/ASX 200 rose 0.13%, while markets in Toko were shut for a holdiay. In Greater China, the Shanghai Composite rose 0.91% and the Hang Seng index gained 0.33%.
Technology shares continued their ascent: Apple (NASDAQ:AAPL) supplier AAC Technologies rose 3.6% and heavyweight Tencent tacked on 1.68%.
In his tweet, Trump said: "North Korean Leader Kim Jong Un just stated that the “Nuclear Button is on his desk at all times.” Will someone from his depleted and food starved regime please inform him that I too have a Nuclear Button, but it is a much bigger & more powerful one than his, and my Button works!"
Overnight, US stocks closed higher on Tuesday led by gains in the technology and energy sector as investor sentiment on equities remained bullish.
The Dow Jones Industrial Average closed higher at 24823.64. The S&P 500 closed 0.83% higher, while the Nasdaq Composite closed at 7006.90, up 1.50%.
US stocks made a positive start to the year amid expectations that solid economic growth would continue, raising the prospect of strong corporate earnings. The prospect of another year of bullish growth offset investor concerns over fresh geopolitical uncertainty.
Reports that China was mobilizing forces on its border with North Korea and continued rioting in Iran had briefly halted the rally but the latter raised the prospect of fresh oil supply disruptions supporting an uptick in energy stocks, lifting the broader index higher.
Also supporting the move higher in equities was an economic report showing final December manufacturing purchasing managers index rose to 55.1 from 53.9 in November.
On the corporate front, Target Corporation (NYSE:NYSE:TGT) closed 3.6% higher following a report from Loup ventures’ analyst Gene Munter who suggested that the retailer could be bought by Amazon (NASDAQ:NASDAQ:AMZN).
The upbeat start to the year for US stocks comes as earnings season draws closer with the financials set to report earnings on Dec. 12.