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Chinese markets rally amid video game surge; ASX 200 nears 2-year high

EditorOliver Gray
Published 27/12/2023, 01:39 pm
© Reuters.

Investing.com - Chinese and Hong Kong stocks experienced gains on Wednesday, largely driven by a surge in video game shares. Meanwhile, Australian stocks reached a near-two-year high as more markets resumed trading after the Christmas break.

China's CSI 300 index saw a 0.14% increase at the opening bell, with video game shares stabilizing after experiencing falls in the previous session. Chinese online gaming stocks witnessed a rise in Hong Kong trading following an announcement from Beijing's top gaming regulator. The regulator stated it would "carefully study" the concerns of all stakeholders regarding draft rules designed to curb excessive online gaming and spending.

Hong Kong's Hang Seng index experienced an early trading increase of 1.2%. This marks the first trading day of the week for Hong Kong markets.

Australia's S&P/ASX 200 index achieved a 1.1% rise, hitting its highest level since late April 2022 as trading resumed for the week. The index is on track for yearly gains of over 7%. Optimism surrounding the Reserve Bank of Australia's decision to hold steady on interest rates at its last meeting of the year, influenced in part by the more dovish stance of the Federal Reserve, has boosted Australian stocks.

With major central bank meetings concluded and fewer data points on the economic calendar, trading volumes are expected to be light.

Japan's Nikkei 225 rose 1.1%, while the broader Topix index added 0.92%, heading for its fourth consecutive day of gains. The Nikkei 225 has seen an impressive increase of more than 27% this year, making it Asia’s top-performing index for 2023.

South Korea's KOSPI 200 reversed early gains, easing 0.1%, while the smaller Kosdaq index maintained a 1% increase.

Overnight, Wall Street started the final week of the year on a positive note, pushing the S&P 500 closer to record levels. The S&P 500 ended 0.4% higher, the Nasdaq Composite advanced 0.5%, and the Dow Jones Industrial Average gained about 0.4%, closing at 37,545.33. The Nasdaq 100 saw a 0.6% increase, hitting a record high and closing the session at 16,878.46.

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