Japan stocks rebound lifts Asia higher, ECB in focus

The Asian stocks markets extended gains this Thursday, especially with the Japanese indices staging a solid rebound amid weaker yen. While the renewed optimism also sets in Asia as the Hong Kong markets enter a bull market phase.

The rebound in the Japanese equities is largely backed by strong gains seen on the telecom sector stocks; in wake of speculation the phone companies will report their highest quarterly profit in at least a decade. Moreover, higher commodities prices, particularly oil and copper, also add to the upward rally in the region’s equities.

However, further gains seem capped as investors turn cautious ahead of the upcoming ECB monetary policy decision, with markets expecting some tweaks in its QE program.

Meanwhile, the Japanese benchmark index, the Nikkei 225 rebounds +1.07% to 16,860, on the back of a stronger USD/JPY, up +0.29% on the day. The Australian markets rallies, with the S&P/ASX 200 now up +0.63% to 5,523 points.

The Chinese equities also keep gains, with the benchmark Shanghai Composite index up 0.25%; the CSI300 index gains +0.36%. While Hong Kong markets enter bull market, trading  0.56% higher above 22k mark.