Stock market today: Japan's Nikkei tops 40,000, as investors await China political meeting

HONG KONG (AP) — Asian stocks were mostly higher Monday ahead of China’s top annual political gathering, while Japan’s benchmark surpassed the 40,000 level for the first time.

U.S. futures fell and oil prices were mixed.

Japan’s Nikkei 225 share index rose to 40,314.64 but fell back slightly. It was up 0.5% to 40,150.00 by early afternoon. It followed an advance last week on Wall Street that pushed U.S. stocks to new heights.

Shares in Japan have tracked gains in other markets driven by expectations for strong demand for technology associated with artificial intelligence. They’ve also been boosted by the Bank of Japan’s easy credit policy, which is pumping money into the economy to help support growth, and by a weak Japanese yen, which has inflated profits of exporters.

This week the spotlight is mainly on China’s National People’s Congress, the country’s most important political event. It opens Tuesday, and investors are watching for updates on specific policies to help support the slowing economy, resolve troubles in the property market and stabilize financial markets.

Hong Kong’s Hang Seng fell 0.2% to 16,558.00 and the Shanghai Composite index rose 0.2% to 3,033.63.

Elsewhere in Asia, the Kospi in Seoul surged 1.2% to 2,672.94 after a private-sector survey showed the country’s manufacturing activity expanded at a slower pace in February compared to the month before, as overseas demand weakened.

Australia’s S&P/ASX 200 was down 0.1% at 7,598.00, and in Bangkok the SET edged 0.1% lower.

On Friday, the S&P 500 rose 0.8%, to 5,137.08 a day after setting an all-time high. It has climbed in 16 of the last 18 weeks because of excitement about cooling inflation and a mostly resilient U.S. economy.

The Dow Jones Industrial Average gained 0.2%, to 39,087.38. Technology stocks led the market, and the Nasdaq composite jumped 1.1%, to 16,274.94 a day after surpassing its prior record set in 2021.

Dell Technologies helped drive the stock market after jumping 31.6%. It reported stronger profit and revenue for the latest quarter than analysts expected, highlighting demand for its AI-optimized servers.

A crescendo of demand for artificial-intelligence technology has helped