Most markets rise in Asia with Biden stimulus plan in focus

Asian markets mostly enjoyed fresh gains Thursday as investors await Joe Biden's proposals for a vast new stimulus as well as comments from the head of the Federal Reserve on its policy outlook.

News that Donald Trump had been impeached for a historic second time appeared to have little immediate impact on sentiment, despite worries about more unrest across the US leading up to Biden's inauguration on January 20, following last week's storming of the Capitol.

Hopes for another huge spending splurge in the world's top economy also overshadowed fears about surging virus cases - and record daily deaths in the US and Britain - that have forced governments to impose new lockdowns.

Analysts said a drug being developed by pharma giant Johnson & Johnson could make a huge difference as it would only need one jab and can be transported more easily.

But for now, the focus is on the president-elect's new economic rescue plan, which he has said would be in the trillions of dollars, with a push for $2 000 cash handouts.

"Investors are willing to look past the political big uglies (in Washington) to sunny days ahead," said Axi strategist Stephen Innes.

"Expectations are building for additional and perhaps larger fiscal stimulus efforts as pandemic priorities remain the first order of business for the Biden administration."

However, there is a worry that with the Senate unlikely to debate the impeachment until after Biden takes office, his legislative programme and cabinet confirmations could be held up.

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Tech giants Alibaba and Tencent surged in Hong Kong after a report that the US will not bar Americans from investing in them, as it has done for other firms over national security concerns.

Top Trump administration officials disagreed about whether to ban the firms' US-listed shares as well as Chinese search engine Baidu, with Treasury Secretary Steven Mnuchin ultimately prevailing. There had been concerns their inclusion in a blacklist would have a huge negative impact on markets.

Alibaba rallied almost four percent and Tencent jumped almost five percent in morning trade.