Asian markets suffered broad losses Thursday, bringing a solid month of gains for most regional equities to an end, as investors reacted to a weak set of earnings reports and downbeat economic data from the U.S.
In Japan, the Nikkei 225 Index gained 24.71 points, or 0.2%, to 11,138.66
In Hong Kong, the Hang Seng index deducted 92.53 points, or 0.4%, to 23,729.53
Japanese shares led January’s gainers in the Asia-Pacific, with the Nikkei rising 7.2%, while the stock benchmarks in China, Hong Kong and Australia added at least 4.7% during the month.
South Korea’s Kospi defied the broad trend, slipping 1.8% during the month, amid worries about the impact on the nation’s exporters as a weakening yen improved prospects for their Japanese counterparts.
The day’s weakness came after some of the major Asian markets hit multi-year highs in the previous session. On Wednesday, the Nikkei had ended at its best level since April 2010, while the Australian S&P/ASX 200 and the Hang Seng Index both reached levels not seen since April 2011.
Earnings-related news weighed on several stocks in the region Thursday.
Angang Steel Ltd. tumbled 5% in Hong Kong and 2.7% in Shenzhen after warning it saw a bigger loss in 2012 than the year before, prompting a downgrade to neutral at J.P. Morgan.
One other agency also downgraded Maanshan Iron & Steel Co. — which plunged 7.7% in Hong Kong and dropped 1.8% in Shanghai — to underweight from overweight.
Oil major Cnooc Ltd. fell 2.3% after issuing a below-forecast production estimate for 2013.
Chinalco Mining Corp. International made a poor debut in Hong Kong, with its shares finishing at 1.64 Hong Kong dollars (20.8 U.S. cents) versus an initial public offering price of HK$1.75.
There were some earnings bright spots, however, with mobile service provider China Unicom Hong Kong Ltd. rising 1.6% on the back of an upbeat profit forecast.
In Australia, the energy sector came under pressure. Whitehaven Coal Ltd. sank 5.5% after saying it expects profit in the fiscal first half to be weighed by weakness in the coal markets and a strong local currency.
Woodside Petroleum Ltd. Santos Ltd. each fell by 1.5%.
But Karoon Gas Australia Ltd. jumped 5.4% after saying an extra well will be added to its drilling campaign in offshore Brazil.
In Seoul, LG Electronics Inc. fell 1.9% after posting a bigger loss than analysts had expected.
In Tokyo, Advantest Corp. fell 1.8% after posting a narrower quarterly loss, while shares of Nintendo Co. skidded 5.1% as the video-games firm swung to a nine-month profit, but slashed its full-year sales forecast for a second straight quarter.
But gains for the banking sector lifted the broader market.
Sumitomo Mitsui Financial Group Inc. jumped 5.2% after posting a 34% rise for April-December profit. Among other lenders, Mitsubishi UFJ Financial Group Inc. climbed 3.6%, while Mizuho Financial Group Inc. rose 2.8%.
CHINA
On mainland Chinese bourses, property companies were among the decliners.
The Shanghai CSI 300 dipped 1.83 points to 2,686.88.
Gemdale Corp. dropped 5.6% and Poly Real Estate Group Co. tumbled 6.2% in Shanghai, while the yuan-denominated A-shares of China Vanke Co. declined 5.2% in Shenzhen.
Their drop came after the China Times reported, citing an unnamed person close to the Beijing Local Taxation Bureau, that the Beijing municipality government may introduce a real-estate tax in the first half of this year.
In other markets
In Singapore, the Straits Times Index dropped 3.24 points, or 0.1%, to 3,282.66
Korea’s Kospi Index fell 2.49 points, or 0.1%, to 1,961.94
Taiwan’s Taiex Index improved 17.04 points, or 0.2%, to 7,850.02
The NZX 50 added 5.10 points, or 0.1%, to 4,252.65
In Australia, the S&P/ASX 200 doffed 17.91 points, or 0.4%, to 4,873.70, to end its win streak at 10 straight sessions.
