Asian stock markets rose slightly on Tuesday, thanks to China's stock market rally and automotive stocks also climbed on the news of M&A, although overall uncertainty surrounding trade and economic growth limited the rally.
The MSCI Mingsheng Asia-Pacific (excluding Japan) index rose 0.31%, while U.S. E-Mini S&P 500 index futures rose 0.19% to 2,837.25.
China's Shanghai and Shenzhen 300 index. CSI300 rose 1.02 percent after data released the day before showed that profits of Chinese industrial enterprises fell in April, which is expected to prompt the government to take more stimulus measures to support the slowing economy.
After Tuesday's close, the weights of China's A shares in the MSCI Mingsheng Index will be increased as planned, which also boosted the stock market.
The Korea Composite Stock Index (KOSPI). KS11 rose 0.13%, the Australian S&P/ASX 200 index rose 0.45%, and the Nikkei index. N225 rose 0.39%.
Despite the day's gains, Joanne Goh, Asia equity strategist at Star Show Bank in Singapore, said overall market sentiment remained uncertain ahead of a possible meeting between Chinese and American leaders during next month's G-20 summit.
"All different asset classes lack direction," she said.
"We do see a slight increase in bond yields in China, but this should not continue because we expect stimulus measures and bond yields to begin to fall... There are many uncertainties in the market now."
Ten-year Chinese September bond futures jumped 0.26% on Tuesday and fell 0.71% last day. China's previous takeover of contractor banks has sparked concerns about widespread financial risks.
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