HONG KONG: Asian markets mostly rose yesterday following a positive lead from Wall Street, with investors betting that US lawmakers will soon reach a deal to end the government shutdown.
However, traders are nervous as Republicans and Democrats - already gridlocked over a budget bill - have just over two weeks to strike a separate deal on raising the country's debt ceiling and avoiding a painful default.
Tokyo tumbled 2.17 per cent, or 314.23 points, to 14,170.49 as the dollar weakened against the yen. But Sydney added 0.17 per cent, or 8.8 points, to close at 5,215.6 while Seoul edged up 0.60 points to 1,999.47.
Shanghai and Mumbai were closed for public holidays.
A day after the US government shut down for the first time in 17 years, lawmakers remain at loggerheads over the budget, with Democrats refusing to give in to Republican demands for cuts in President Barack Obama's flagship health law.
However, investors for now seem unruffled by the crisis, which has seen about 800,000 federal workers sent home and several agencies closed or on skeleton staffing.
Wall Street enjoyed healthy gains, with the Dow adding 0.41 per cent, the S&P 500 advancing 0.80 per cent and the Nasdaq rallying 1.23 per cent.
US shares were also boosted by a better-than-expected jump in US manufacturing activity that indicated a sustained pick-up in the economy.
In other markets:
* Taipei rose 0.36 per cent, or 29.50 points, to 8,216.52.
Taiwan Semiconductor Manufacturing Co added 1.48 percent to T$103.
* Wellington added 0.53 per cent, or 25.00 points, to 4,768.87.
* Manila ended 2.65 per cent higher, adding 164.42 points to 6,362.28. Philippine Long Distance Telephone Co rose 1.61 per cent to 3,028 pesos and Ayala Corp put on 1.18 per cent to 602 pesos.
* Jakarta rose 0.96 per cent, or 41.71 points, to 4,387.60. Cement maker Indocement Tunggal Prakarsa gained 3.52 per cent to 19,100 rupiah while Telekomunikasi Indonesia climbed 2.33 per cent to 2,200 rupiah.
* Bangkok ended flat, edging up 0.80 points to 1,408.99. Bangkok Bank fell 1.97 per cent to 199.00 baht. AFP