Asian shares mostly rise on virus vaccine, Yellen hopes
TOKYO (AP) — Asian shares were mostly higher Tuesday, encouraged by news on the development of coronavirus vaccines and more assurance for a transition of power in the U.S. to President-elect Joe Biden.
The U.S. federal government recognized Biden as the “apparent winner” of the Nov. 3 election, giving the green light for cooperation on a transition of power despite efforts by President Donald Trump to overturn the election.
Japan's benchmark Nikkei 225 jumped 2.5% to 26,159.97 in afternoon trading. Australia's S&P/ASX 200 gained 1.3% to 6,644.10. South Korea's Kospi added 0.6% to 2,617.05. Hong Kong's Hang Seng inched up less than 0.1% to 26,500.81, while the Shanghai Composite slipped 0.5% to 3,398.47.
Reports, including by The Associated Press, that Biden has chosen former Federal Reserve Chair Janet Yellen as treasury secretary added to investors' confidence. Widely admired in the financial world, Yellen would be the first woman to lead the department, in a line stretching back to Alexander Hamilton in 1789, taking on a pivotal role to help shape policies at a perilous time.
The latest vaccine developments are also helping to raise hopes that some normalcy will eventually be restored to everyday life and the economy. They're also tempering lingering concerns over rising virus cases in the U.S., as well as in Asia and other parts of the world, and new government restrictions on businesses aimed at limiting the spread.
“Investors continue to embrace and see the optimism in the development of vaccines, providing light at the end of the tunnel and multiple choices on how to get there,” said Adam Taback, chief investment officer for Wells Fargo Private Bank.
The S&P 500 rose 0.6% to 3,577.59 on Monday. The benchmark index, which climbed to an all-time high a week ago, recouped nearly three-fourths...
