Japan’s Nikkei 225 rises 2%; Asia-Pacific markets trade higher after U.S. stocks surge

Asia-Pacific shares traded higher on Tuesday after stocks on Wall Street rallied overnight.

The Nikkei 225 in Japan rose 2.19% in early trade, and the Topix index was 2.44% higher. South Korea’s Kospi advanced 1.81% on its return to trade after a holiday. The Kosdaq added 2.24%.

MSCI’s broadest index of Asia-Pacific shares outside Japan gained 0.71%. In Australia, the S&P/ASX 200 jumped 2.35%. The Reserve Bank of Australia is set to announce its interest rate decision later Tuesday.

Markets in mainland China and Hong Kong are closed for a holiday.

The Dow Jones Industrial Average popped 765.38 points, or nearly 2.7%, to close at 29,490.89. The S&P 500 advanced about 2.6% to 3,678.43. The Nasdaq Composite added nearly 2.3% to end at 10,815.43.

It was the best day since June 24 for the Dow, and the S&P 500′s the best day since July 27.

— CNBC’s Tanaya Macheel and Samantha Subin contributed to this report.