Asian markets gain with Japan ahead after GDP beats forecasts

Stocks in Asia were trading broadly higher on Monday after Wall Street closed with gains in the previous trading session and Chinese authorities left the Yuan reference rate little changed on Monday.

Data out of Japan on Monday showed the economy contracted 0.4% in the June quarter, slightly better than the 0.5% contraction forecast by markets, but down sharply on first-quarter growth of 1%.

Japan's benchmark Nikkei 225 index rose 0.61% to 20,645.16 points within the first hour of trade, while Tokyo's broader Topix gauge rallied 0.69% to 1,676.00 points.

Hong Kong's benchmark Hang Seng index fell 0.23% to 23,935.95 points shortly after the opening bell, and mainland China's benchmark Shanghai Composite lost 0.32% to trade at 3,952.63 points at the same time.

Korea's benchmark Kospi index fell 0.28% to 1,977.99 points this morning in Seoul.

The benchmark Australian S&P/ASX 200 index traded 0.71% higher at 5,394.30 points in Sydney, as retailers and resource stocks opened with healthy gains.

New Zealand's benchmark S&P/NZX 50 index rose 0.38% to 5,718.05 points this afternoon in Wellington.