Asian markets higher early after big US gains

TOKYO: Stocks across Asia climbed early Tuesday after Wall Street opened August with a strong rally on positive indicators from around the globe.

Japan's benchmark Nikkei 225 stock average jumped 1.7 percent to 9,732.81 in early trade, and South Korea's Kospi rose 0.5 percent to 1,791.62.

Australia's S&P/ASX 200 was 0.8 percent higher at 4,578.80. Shares in Shanghai, Taiwan and New Zealand were also up.

The gains followed big climbs in U.S. shares after a string of news on Monday that eased investor concern about economic growth slowing down in the U.S., China and Europe.

This included a report out of the U.S. that manufacturing activity was better during July than the market expected, and one from Europe showing the economy on the continent was recovering faster than previously thought. European banks also reported strong earnings.

In China, investors were relieved by news economic growth was moderate enough that the government won't have to take steps to curtail it.

Some analysts, however, cautioned many traders were on vacation during the summer months, and lower activity in markets can exaggerate price swings.

Still, The Dow Jones industrial average shot up 208.44, or 2 percent, to 10,674.38, its highest close since May 13, with all 30 of its component stocks gaining on the day. The broader Standard & Poor's 500 index rose 24.26, or 2.2 percent, to 1,125.86, while the tech-heavy Nasdaq composite index rose 40.66, or 1.8 percent, to 2,295.36.

In currencies, the dollar strengthened to 86.54 yen, up from 86.46 late Monday. The euro was slightly lower at $1.3170 versus $1.3178.