Asian markets on Monday built on last week’s gains following another record on Wall Street, while the euro edged up on news that French President Emmanuel Macron’s party had secured a healthy majority in National Assembly elections.
The Dow in New York closed at a fresh all-time high thanks to a bounce in energy stocks, providing a positive lead for Asia, with a weaker yen helping Tokyo rally.
The dollar climbed above 111 yen Monday after Japan posted a surprise trade deficit for May. The Nikkei ended the morning session 0.6 percent higher.
Hong Kong added 0.9 percent and Shanghai was up 0.3 percent, while Seoul gained 0.6 percent and Sydney 0.5 percent. Wellington, Taipei and Manila were also well up.
With few drivers for business this week, eyes will be on the start of talks between Britain and the European Union on its extraction from the economic bloc.
The negotiations come after the ruling Conservative party lost its parliamentary majority in elections this month, weakening the government’s hand.
“How these negotiations evolve will likely hold the near term fate for the Pound,” said Stephen Innes, a senior trader at OANDA.
The pound, which tumbled in response to the election result, continues to struggle around two-month lows against the dollar.
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