ASIA MARKET ENDED POSITIVE THIS WEEK

JAPAN

The Nikkei 225 Index rose 1.27% to close at 26,739 while the broader Topix Index gained 0.93% to 1,877 on Friday, recouping some losses from the previous session, as investors scooped up beaten-down shares following a US-led global equity rout. Investors also watched for market reaction after data showed Japan’s core inflation rose above the central bank’s 2% target and hit a more than seven-year high in April, as higher energy and commodity costs are causing broader price hikes that are pressuring households. Technology stocks led the advance, with strong gains from SoftBank Group (3.5%), Recruit Holdings (6.3%), Seiko Epson (8.8%), Remixpoint (3.5%) and Renesas Electronics (2.7%). Other index heavyweights also gained, including Nippon Yusen (3.7%), Kawasaki Kisen (7.5%), Toyota Motor (2.1%), Mitsubishi UFJ (1.4%) and Fast Retailing (2.5%). The Nikkei 225 and Topix indexes gained 1.2% and 0.7%, respectively, this week.

INDIA

The BSE Sensex jumped 2.9% to 54326 and the Nifty50 gained 2.9% to end at 16266 on Friday, tracking global positive cues, after the People's Bank of China cut a key interest rate to spur growth. All sectors ended in the green, and metal, pharma, capital goods, PSU bank and realty were up 3-4% each. On the corporate front, shares of Dr. Reddy's Laboratories (8.1%), despite a drop in company's profits; Reliance Industries (5.8%) and Nestle India (4.7%) were the top performers. On the week, the Sensex gained 2.9%.

CHINA

The Shanghai Composite rose 1.6% to close at 3,147 while the Shenzhen Component gained 1.82% to 11,455 on Friday, hitting their highest in a month, after China cut its benchmark reference rate for mortgages more than expected to support a slowing economy. China lowered the 5-year loan prime rate by 15 basis points to 4.45%, the most since the mechanism was revamped in 2019, while keeping the 1-year LPR unchanged at 3.7%. Investors have been eyeing stronger policy support amid the economic fallout from Covid lockdowns. Consumer and commodity-linked stocks led the advance, with strong gains from Wuliangye Yibin (5.8%), Kweichow Moutai (2.5%), Luzhou Lao Jiao (6.6%), Henan Shenhuo (10%) and Yunnan Aluminum (10%). Heavyweight technology, financial and transportations stocks also gained. The benchmark indexes ended higher for the second straight week on hopes for further policy easing and optimism around Shanghai’s reopening.