Asian shares mixed as boost from US stimulus package fades

Asian shares were mixed Wednesday after a lackluster day on Wall Street, as the boost from President Donald Trump’s signing of the coronavirus relief package faded.

Benchmarks fell in Tokyo and Sydney but rallied in Hong Kong, Seoul and Shanghai.

The S&P 500 lost 0.2% on Tuesday, a day after major indexes notched their latest all-time highs after President Donald Trump signed the $900 billion economic relief package.

An effort by Trump to get bigger, $2,000 COVID-19 relief checks for individuals has stalled in the Republican-led Senate. For now, $600 checks are set to be delivered, along with other aid, in one of the largest rescue packages of its kind.

Investors have been waiting months for such help, which economists say is needed to tide the economy over as coronavirus caseloads surge, leading governments to reimpose restrictions to stem the pandemic.

Hong Kong's Hang Seng surged 1.6% to 26,989.87, while the Shanghai Composite index advanced 1% to 3,411.44. South Korea's Kospi jumped 1.9% to 2,837.08.

Japan's Nikkei 225 fell 0.5% to 27,444.17, a day after it surged more than 2% to its highest level in more than 30 years. Japanese markets will be closed Thursday through the end of the week, reopening Jan. 4.

In Australia, the S&P/ASX 200 lost 0.3% to 6,682.40. Shares rose in Taiwan but fell in India and Southeast Asia.

“After a meteoric rise as risk dominoes toppled one by one this week, stocks fell back to earth a bit overnight," Stephen Innes of Axi said in a commentary. “And while larger stimulus paychecks would always be a welcome addition to the Q1 consumption bonanza, the current stimulus level as it sits will drive US growth sufficiently higher bridging the gap when people get vaccinated and return to those activities most impacted by COVID -19...