Live updates on Asian markets: Singapore production beats expectations

Asia-Pacific shares were mostly higher on Thursday, with several markets remaining closed for Boxing Day.

of Japan Nikkei 225 rose 1.12% to 8,220.9, while the Topix added 1.20% to 2,766.78, a day after a report that the country was preparing record budget of $735 billion for its fiscal year beginning in April. The budget will take into account increased spending on social security and debt service, a draft seen by Reuters revealed.

Also on Wednesday, Bank of Japan Governor Kazuo Ueda said that “Japan’s economy will approach sustainable and stable inflation of 2 percent (in 2025) accompanied by wage increases.”

The yield on 10-year Japanese government bonds rose 1.3 basis points to 1.078 percent, while the yen strengthened to 157.16 against the dollar on Thursday, signaling the market expects the bank to take rate hikes.

Shares of Japanese car manufacturers Nissan and Honda grew by 6.58% and 3.84% respectively. Both companies had started formal merger talks at the start of the week, which could create the world’s third-largest carmaker by sales.

Shares of Japanese airlinesmeanwhile, closed 0.24% lower after a cyberattack caused a delay for domestic and international flights. His systems have since been restored to normal.

of South Korea Kospi fell 0.44% to close at 2,429.67, while the Kosdaq lost 0.66% to close at 675.64. The main opposition Democratic Party in the country introduced a bill of impeachment against sitting President Han Duk-soo, with a vote on it on Friday, according to Yonhap news agency.

Alibaba Group Holding is close to finalizing a deal to combine its South Korean business with e-commerce platform E-Mart to strengthen its position in the country’s fast-growing online retail market, Bloomberg reported, citing sources. E-Mart shares closed up 5.45%.

China’s CSI 300 rose slightly to close at 3,987.48 as The World Bank improved the growth forecast for the country’s gross domestic product for 2024 and 2025, reflecting recent policy adjustments. It now expects China’s GDP to grow by 4.9% in 2024. compared to the previous forecast of 4.8%. In 2025 China’s GDP is expected to reach 4.5%, up from the organization’s previous forecast of 4.1%.

Efforts to stabilize and stop the decline of China’s real estate market will continue in 2025, the Chinese government announced on Wednesday. Measures will include controlling the supply of commercial housing to optimize supply.

Singapore’s manufacturing output rose 8.5% in November from a year earlier, fueled by a strong performance in the electronics sector, marking the fifth consecutive month of growth. However, the reading fell short of the 10% growth forecast by Reuters. On a seasonally adjusted monthly basis, the country’s manufacturing output shrank 0.4 percent, compared with Reuters expectations for a 0.8 percent increase.

Markets in Australia, New Zealand and Hong Kong were closed for Boxing Day.

Overnight, markets in the US were closed for Christmas. Stocks jumped on Christmas Eve Tuesday as the market posted back-to-back gains over the holiday week.

The S&P 500 added 1.1% to 6,040.04, a Dow Jones Industrial Average gained 390.08 points, or 0.91%, to 43,297.03. The Nasdaq Composite rose 1.35% to 20,031.13, helped by a 7.4% jump in Tesla shares.

Tuesday marked the start of the seasonal Santa rally, which takes place during the last five trading days of the year and the first two in January.

— CNBC’s Yun Li and Sean Conlon contributed to this story.