By Chao Deng 

Stocks in Asia rallied after the European Central Bank unveiled a bond-buying program aimed at shoring up the flagging eurozone economy.

Gains were rippling across the globe, with Australia's S&P/ASX 200 and Hong Kong's Hang Seng Index each up 1.2%. Investors expect that Europe's bond-buying efforts will support money flows to riskier investments, including to stocks. U.S. stocks rose earlier.

The ECB said it would buy 60 billion euros a month in assets including government bonds, debt securities issued by European institutions and private-sector bonds. The move was largely expected, although the size of the asset-purchase plan was larger than many had forecast. Denmark's central bank cut its main interest rate, underscoring how quickly the ECB's move is likely to encourage easing across the region.

Chinese stocks rallied, despite the economy's weak start to the year. HSBC's China flash manufacturing PMI report for January rose to 49.8 from 49.6 in December, indicating continued economic deceleration amid a slowing property sector.

The Shanghai Composite was up 1.4%, on track to finish up this week and fully erase Monday's 7.7% plunge. Investors had taken profit on concerns that tighter rules toward Chinese brokerages would spell an end to a multi-month rally, but China's central bank has also pumped more liquidity into the financial system in recent weeks, spurring hopes that an easy monetary policy will bring gains to the stock market.

In Australia, utilities and energy stocks led gains after a jump in crude-oil prices. Woodside Petroleum Ltd. was up 1.7%, while Origin Energy Ltd was up 2.2%.

Oil prices on the New York Mercantile Exchange were up 1.7% at $47.13 after news that Saudi Arabia's King Abdullah bin Abdulaziz al Saud died. A leadership transition in the world's largest oil exporter could lead the kingdom and the Organization of the Petroleum Exporting Countries to abandon their prior stance and cut production, according to analysts.

Write to Chao Deng at Chao.Deng@wsj.com

Access Investor Kit for HSBC Holdings Plc

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=GB0005405286

Access Investor Kit for HSBC Holdings Plc

Visit http://www.companyspotlight.com/partner?cp_code=P479&isin=US4042804066

Hsbc (LSE:HSBA)
Historical Stock Chart
From Feb 2024 to Mar 2024 Click Here for more Hsbc Charts.
Hsbc (LSE:HSBA)
Historical Stock Chart
From Mar 2023 to Mar 2024 Click Here for more Hsbc Charts.