Asian shares reach high grounds; Nikkei falls on Tokyo’s virus measures

Asian share markets extended their rally on Monday. This followed after investors were seen enthusiastic over the prospect of a brisk economic recovery brought by coronavirus vaccines. However, impending reinforcements of virus restrictions in Tokyo dragged Japanese shares from their 30-year high record.

MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.8%, hitting its all-time high after a slow morning session. South Korean shares also gained 2%, with the chip and automobile sectors leading the jump. Meanwhile, Chinese blue chips recorded a 0.3% increase.

S&P 500 e-minis strengthened after hitting a milestone peak. EUROSTOXX 50 futures, on the other hand, traded flatly as FTSE futures soared 0.4%.

Investors remained hopeful that central banks will keep their monetary policy loose while the economy recovers over time. But this optimism is already priced in and the coronavirus pandemic continues to press.