* Asian stock markets: https://tmsnrt.rs/2zpUAr4
* Global asset performance http://tmsnrt.rs/2yaDPgn
* World FX rates http://tmsnrt.rs/2egbfVh
By Scott Murdoch
HONG KONG, May 4 (Reuters) - Asian share markets advanced
marginally on Tuesday as investors looked to signs of recovery
from the coronavirus pandemic as major economies around the
world reopen.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS was just 0.15% higher heading into the Asian
afternoon session in trading thinned by holidays in China and
Japan. Hong Kong's Hang Seng Index .HSI was trading 0.3%
higher at 28,441.95.
Australia's S&P/ASX200 .AXJO edged up 0.4% to 7,056.3
ahead of a the Reserve Bank of Australia meeting at which it is
expected to keep the official cash rate on hold at 0.1% while it
awaits further signs of the domestic economy's rebound from the
pandemic-led downturn.
A statement following the decision at 0430 GMT will be
monitored for indications whether the unprecedented quantitative
easing programme there could start to be tapered.
The mildly positive tone in Asia was broadly in line with
that on Wall Street overnight, where upbeat earnings, news of
cities reopening and a dovish Federal Reserve helped offset a
disappointing report on manufacturing activity.
While that combination is also causing investors to position
for stocks to defy the customary 'Sell in May' adage, they have
turned cautious ahead of key U.S. services data due on Wednesday
and non-farm payrolls numbers on Friday.
"Dovish tones from the Fed and an extraordinary fiscal
stimulus from the Biden Administration are fuelling optimism
that the U.S. economy will strengthen further during 2021," said
Stephen Koukoulas, managing director at the Canberra-based
Market Economics.
"Attention is also moving the U.S. payrolls data this Friday
where close to 1 million new payrolls and an unemployment rate
back down towards 5.6% is set to reinforce this upbeat
sentiment."
Taiwan was an exception in the region, with stocks there
.TWII dropping by more than 3% in what could be their worst
session since February 26, after a sudden spurt in coronavirus
infections. The index is up about 12.8% for the year, which
ranks it as one of the strongest performing markets in the
region.
Mega International Investment Services Corp manager Alex
Huang said the falls were due to concerns about an uptick in
domestic COVID-19 infections in Taiwan and the overnight drop in
U.S. tech stocks.
"The pandemic situation really is a bit complex, and the
fall in U.S. tech stocks has also been a burden," Taipei-based
Huang said.
Japan and mainland China's markets remained closed on
Tuesday for holidays dampening trading volumes across the
region.
Monday's session on Wall Street saw the Dow Jones Industrial
Average .DJI end 0.7% higher at 34,113.23 points, while the
S&P 500 .SPX gained 0.27% to 4,192.66 with most of the gains
concentrated in industrial and commodity shares.
The Nasdaq Composite .IXIC dipped as technology stocks
lagged sectors investors saw as beneficiaries of a pandemic
recovery.
Energy stocks also gained on the back of higher oil prices.
In the Asian session, Brent crude LCOc1 was trading up
0.12% at $67.64 while U.S. light crude CLc1 was 0.12% higher
at $64.56.
"Crude oil gained (in U.S. trading) as easing restrictions
in the U.S. and Europe raise hope of stronger demand. The
European Union is planning to ease restrictions on vaccinated
travellers over the summer," ANZ economists said in a note to
clients.
"This comes as several countries emerge from lockdowns amid
a fall in new infections of the coronavirus."
U.S. Treasury yields fell on Monday after data showed
manufacturing activity growth slowed in April amid supply chain
challenges, and despite the Treasury Department's announcement
of a much bigger borrowing programme for the second quarter.
The benchmark 10-year yield US10YT=RR , which hit a session
low of 1.578%, was last down 3 basis points at 1.6011%, holding
well below a 14-month high of 1.776% reached on March 30.
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World FX rates YTD http://tmsnrt.rs/2egbfVh
Global asset performance http://tmsnrt.rs/2yaDPgn
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