2015.01.0801:51:36UTC+00Asian stocks rebound from three-week low as US stocks rally

Asian stocks ended a four-day rout, following the lead of US stocks as Fed minutes were released and jobs data was optimistic.

Japanese stocks rose in today’s trade with the Topix Index gaining for the first time in six days following US stocks rally. The yen weakened as US stocks rose on jobs data optimism and released Fed minutes. Chinese stocks shed its biggest loss in two weeks as strategists remain concerned on excessive rallies as year forecasts show declines for China’s benchmark index.

The MSCI Asia Pacific Index added 0.7% to 135.66 in Tokyo. The regional benchmark index recovered from a three-week low. The Shanghai Composite Index lost 1.7% to 3,317.04 set for its biggest loss since December 24. China’s benchmark index has already advanced a total of 64% for the year 2014, making it the best performer out of 93 global indices.Speculations of a government stimulus to support the economy in the form of easing in the monetary policy is still spreading across the market. The CSI 300 Index shed 1.9%. Hong Kong’s Hang Seng China Enterprises Index added 0.4% while the Hang Seng Index rose by 0.6%.The Topix Index added 1.6% to 1,382.07 in Tokyo. The Nikkei 225 Stock Average climbed by 1.9% to 17,211.17 with the nation’s currency weakening by 0.4% to match the dollar at 119.73 yen per dollar. South Korea’s KOSPI Index and Australia’s S&P/ASX 200 advanced by 1% or 19.10 points to 1,902.93 and 0.53% or 27.89 points to 5,381.50 respectively.

In Japan, Toyota Motor Corp. increased by 1.7% while Japan Tobacco Inc. added 2.6%. Disco Corp. rose by 6.5%. China’s Citic Securities Co., China Life Insurance Co, and China Construction Bank Corp. all dropped by at least 3%. Huaneng Power International Inc. sank by 3.4%. Rio Tinto and BHP Billiton in Australia rose by 2.4% and 1% respectively. South Korea’s Hyundai Motors added 4.2%.

US stocks ended a five-day losing streak with the S&P 500 advancing to its biggest gain in three weeks as US crude oil prices rebounded from a four-day slump and the Fed minutes were released.

The central bank of the US recently released the Fed minutes for the month of December that shows that the Fed is willing to be patient in hiking interest rates. According to Fed officials, the new policy guidance is indicating that the increasing of interest rates won’t be at least until late April with Fed Chair Janet Yellen affirming that the near zero interest rates will remain for the first quarter.