Higher In Asia; Tech Leads Gains

Virtually all Asia-Pac equity indices are higher at typing, with a tech-led lead from Wall St. seeing high-beta equities across the region lead the bid (also coming after the sector’s underperformance on Wednesday).

• The Hang Seng deals 1.8% firmer at typing on gains across every sector, with China-based tech names leading the way higher (HSTECH: +2.7%). The property (+1.0%) and finance (+1.0%) sub-indices lagged peer sectors but were bid as well, receiving support from fresh pledges by Chinese regulators to maintain stable property financing for commercial housing in H2 ‘22 and to ensure the delivery of new houses. A rebound in Longfor Group (+5.0%, 10th largest builder in China) also lifted sentiment in real estate equities, after the developer stated that all of its commercial paper due has been settled.
• The CSI300 sits 1.4% firmer, rising to one-week highs primarily on gains in the richly-valued consumer staples (+1.1%) and healthcare (+2.8%) sub-indices, while elsewhere, tech equities outperformed as well, with the ChiNext index trading 2.0% higher at writing.
• The ASX200 is 0.8% better off at typing, with gains in tech equities (S&P/ASX All Tech Index: +2.4%) offsetting losses observed in the utilities and energy sub-gauges. The materials sub-index (+1.4%) received a strong bid as well, with battery mineral (e.g. lithium) and coal miners contributing the most to gains.
• E-minis are 0.3-0.4% firmer apiece, building on Wednesday’s higher close, with S&P500 and NASDAQ 100 contracts sitting at fresh five-month highs at typing.