Asian stocks ended positive Friday as hopes continued that U.S. lawmakers could still reach an agreement before the year-end to avert the fiscal cliff.
US politicians have until Tuesday to come up with a deficit-cutting budget that is less painful than the steep tax hikes and swingeing spending cuts that most economists say will tip the country into recession. With time counting down, Republicans and Democrats are blaming each other for the lack of progress on a deal, with Senate Majority Leader Harry Reid saying: "I have to be very honest, I don't know time-wise how it can happen now."
On the last trading day of 2012, the Nikkei Stock Average ended 0.7% higher, clinching a near-23% gain for the full year — its best yearly performance since 2005. Japanese markets will be closed Monday for New Year’s Eve.
Japanese stocks also shrugged off mixed economic data that was issued before the market open and that included a drop in industrial output in November.
Among exporters, index heavyweight Sony Corp. added 1.7% while Sharp Corp. gained 1%.
Camera-makers Nikon and Canon zoomed 2.3% and 2.1% higher each, respectively. Panasonic Corp. Panasonic was up a percent while Honda Motor revved at 1.1%.
Toyota was up 1.9% while Mitsubishi Motors accelerated 3.5% after advancing over 6% the previous session.
Toshiba Corp. was up 5% after a report in The Wall Street Journal quoted the company’s President as saying it was in talks to sell up to 16% of its Westinghouse Electric Co. nuclear-power unit.
However, utilities were lower and Tokyo Electric Power plunged 6.4% after it said it would seek additional financial aid from the government to pay compensation for last year’s nuclear disaster at its plant in Fukushima.
Hong Kong’s Hang Seng Index edged 0.2% higher and China’s Shanghai Composite Index climbed 1.2%
Elsewhere:
Taiwan’s Taiex gained 0.7%.
South Korea’s Kospi finished 0.5% higher.
Australia’s S&P/ASX 200 ended 0.5% higher.
