Asia-Pacific markets mostly rose on Monday as stocks in Tokyo extended its rally and talks on the U.S. debt ceiling were slated to resume.
Hong Kong's Hang Seng index rose 1.23%, leading gains in the region as the Hang Seng Tech index jumped 2.17%. In mainland China, the Shanghai Composite closed 0.39% up at 3,296.47 and the Shenzhen Component was 0.32% higher and ended at 11,127.04 as the People's Bank of China left its 1-year and 5-year loan prime rates unchanged.
South Korea's Kospi rose 0.76% to end the day at 2,557.08 as chip stocks such as SK Hynix and Samsung Electronics saw gains. This comes after Beijing said it would bar operators of key infrastructure from buying products of Micron.
The Nikkei 225 gained 0.9% to close at 31,086.92 and the Topix rose 0.66% to end at 2,175.9, marking its seventh winning streak as stocks in Japan stayed at the highest levels since 1990. At this level, the Nikkei is up just over 20% year to date.
Stocks in Australia bucked the trend with the S&P/ASX 200 was 0.18% lower, finishing Monday at 7,266.6
Stocks on Wall Street fell on Friday as talks on the U.S. debt ceiling were halted by GOP negotiators, stoking doubt of a deal being reached soon while the S&P 500 recorded its best week since March. The Dow Jones Industrial Average fell 0.33%, and the Nasdaq Composite was down 0.24%.
U.S. Federal Reserve chairman Jerome Powell meanwhile said that interest rates may not have to rise as much as expected to curb inflation, given current banking sector stresses.
— CNBC's Sarah Min and Samantha Subin contributed to this report