KUALA LUMPUR: Regional markets including Bursa Malaysia chalked up gains with Japan’s Nikkei 225 Average the biggest gainer on Feb 17 as investors turned more optimistic about a global economic recovery. The rise was also buoyed by the overnight rally at Wall Street.

Hong Kong, Singapore and Malaysia started their first day of trading on Feb 17 after a two-day break for the Chinese New Year holidays.

Analysts said sentiment perked up after US stocks posted their biggest daily percentage gain in three months on Tuesday as regional US manufacturing data instilled confidence in the economic outlook and Greece’s move to resolve its debts with European Union intervention. The Dow Jones Industrial Average soared almost 1.7% or 169.67 to close at 10,268.81 on Tuesday.

At Bursa Malaysia, the FBM KLCI rose 5.68 points or 0.45% to close at 1,259.07, off the early high of 1,264.91. However, turnover was thin at 545 million shares valued at RM1.02 billion with 408 gainers against 206 losers.

Japan’s Nikkei 225 gained 2.72% to 10,306.83, Hong Kong’s Hang Seng Index added 1.31% to 20,534.01 while Singapore’s Straits Times Index ended up 1.27% to 2,794.06.

Crude palm oil futures for third-month delivery rose RM46 to RM2,626 while light crude oil was up 56 cents to US$77.57 (RM263.74) at 5.30pm.

European equities advanced for a third straight session to a two-week high as forecast-beating results from BNP Paribas helped banks and stronger commodity prices supported mining and energy shares, according to Reuters.

UOB Kay Hian research director Vincent Khoo said investors were encouraged by the tough fiscal measures to be taken by Greece and this could see other debt-laden European countries following suit.

However, he was cautious as the underlying debt problems of the European countries had yet to be resolved.

“We may see a longer consolidation period (for the markets) in months to come. In the immediate term, the markets seem to be ignoring (the debt issue) as there is still a lot of liquidity,” he said.

On Bursa Malaysia, he said most investors were still on holiday and a clearer picture could be expected next week. However, Khoo was cautiously optimistic about the outlook in the short term.

Glove makers were among the major gainers with Supermax Corp Bhd and Top Glove Corp Bhd adding 38 sen each to RM5.50 and RM11.20 respectively, Kossan Rubber Industries Bhd surged 31 sen to RM6.45, Adventa Bhd climbed 27 sen to RM3.58 and Hartalega Holdings Bhd was 24 sen higher at RM7.38.

Among the index-linked stocks, Tanjong plc advanced 34 sen to RM17.76, Hong Leong Bank Bhd 29 sen to RM8.30 and CIMB Group Bhd 14 sen to RM12.56.

The bullish CPO price outlook saw PPB Group Bhd increasing 26 sen to RM16.26 while IOI Corp Bhd and Sime Darby Bhd put on 10 sen each to RM5.32 and RM8.50.

However, Tenaga Nasional Bhd fell 12 sen to RM7.85, the biggest drag on the KLCI.