Japanese and Australian shares on Wednesday ended modestly lower for a fifth straight day of losses, amid fears about Chinese growth and deepening European debt troubles.
Hong Kong and mainland Chinese stocks rebounded after a string of recent losses, with the latter in particular bouncing off six-month lows, on bargain buying in construction-related and transportation sectors.
Japan’s Nikkei 225 Index slid 6.73 points, or 0.1%, to close at 8,851.
The Hang Seng Index in Hong Kong regained 23.51 points, or 0.1%, to 19,419.87
In Hong Kong, a rebound in insurance shares helped offset losses for several Chinese banks. China Life Insurance Co. climbed 1.4% and AIA Group Ltd. rose 0.9%, while China Construction Bank Corp. tumbled 3% and Industrial & Commercial Bank of China Ltd. fell 1.9%.
In Tokyo, Europe-exposed names were pressured, as the euro fell to near the ¥97 level against the Japanese yen.
Sony Corp. dropped 2.2% and Mazda Motor Corp. fell 2%.
Shares of Sharp Corp. fell 1.7% to extend Tuesday losses after announcing a special charge related to a legal settlement.
In Sydney, shares of Alumina Ltd. sank 4.3% after its joint-venture partner Alcoa Inc. took a 4.1% hit in U.S. trade.
CHINA
The gains in Shanghai came after Chinese Premier Wen Jiabao said Tuesday the government’s top priority now was to stabilize economic growth.
Shanghai’s CSI 300 index added 18.87 points, or 0.8%, to 2,425.57
After a soft set of inflation and trade data for June, investors are now keenly awaiting China’s second-quarter gross domestic product data.
In Shanghai trade, Anhui Conch Cement Co. rose 2.8%, China Railway Group Ltd. gained 2%, shipping firm China Cosco Holdings Co. climbed 0.9% and Anhui Jianghuai Automobile Co. added 0.6%. The stocks are all still down in the week so far.
Among other notable movers, China Southern Airlines Co. dropped 2.6% in Shanghai after the carrier warned its earnings for the first half of 2012 could come in 50% below those of a year earlier. However, the airline’s Hong Kong-listed stocks ended 1.2% higher, staging a rebound in line with the broader market.
In other markets
Korea’s Kospi Index docked 3.06 points, or 0.2%, to 1,826.39
Singapore's Straits Times Index tacked on 24.69 points, or 0.8%, to 2,989.31
Taiwan’s Taiex Index improved 6.56 points, or 0.1%, to 7,257.91
New Zealand’s NZX index took on 14.12 points, or 0.4%, to 3,478.84
Australia’s ASX Index lost 1.48 points to 4,096.54
