Asian shares jumped on Thursday, with strong gains for technology shares boosting Tokyo and Seoul and an advance for property stocks underpinning Hong Kong.
Japan's Nikkei 225 index sprang ahead 205.76 points, or 2.2%, to 9,796.08
In Hong Kong, the Hang Seng Index picked up another 2.1%, or 382.88 points - on top of Wednesday’s 350-plus-point gain - to 18,275.03.
Taiwan shares rose, adding to sharp gains made Wednesday on hopes for closer financial-sector cooperation with China.
Financial stocks continued to lead in Taiwan, with Cathay Financial and Fubon Financial both advancing 1.4%.
Serving as the catalyst was a Commercial Times report that senior Chinese and Taiwanese regulators had discussed the final details of a memorandum of understanding on the insurance sector.
The broad-based gains played off a much-awaited Federal Reserve statement issued Wednesday that turned out to be fairly benign, though some analysts pointed to slightly more upbeat language on the U.S. economic outlook taken by the policy-setting Federal Open Market Committee
Tech shares were up after the Nasdaq Composite gained 1.6% in U.S. dealings Wednesday, boosted by a 7% jump in Oracle after the business-software giant beat fourth-quarter earnings expectations.
In Tokyo, TDK was up 4.2%, Tokyo Electron gained 4.1% and Fujitsu was up by 5.6%.
In Seoul, Samsung Electronics moved 1.4% higher, while LG Electronics was up 2.2% and Hynix Semiconductor gained 1.1%.
Sentiment in South Korea was helped by the government revising its forecast for 2009 gross domestic product to a 1.5% contraction from an earlier forecast for a 2% decline
In Tokyo, peers Shinsei Bank rose 11% and Aozora Bank gained 10.8%, rallying as Aozora said that it was talking to Shinsei about a possible merger but that it hadn't yet reached any decisions on next steps "that need to be disclosed."
In Sydney, shares of Rio Tinto gained 4.4% as rival BHP Billiton rose 2.3%.
The gains came on the heels of a Wednesday report of a massive iron-ore discovery in Liaoning province in China, which sparked talk that Australian and Brazilian exports of the key raw material used in the production of steel could suffer. But as further details of the reported deposit emerged, that talk appeared premature.
The deposit is apparently buried between 1.2 and two kilometres underground. In terms of extracting the iron ore, this could present a problem.
"The depth alone means that it is unlikely to be producing sizable production in under three years, more likely five years," said Merrill Lynch.
In Hong Kong, shares of Angang Steel Co. rose 3.2% before trading was halted at the company's request.
Angang's shares have moved 5.3% higher in the previous session. In Shenzhen, Angang's locally listed shares were suspended before the market opened.
Property stocks were up in Hong Kong as the Fed's on-hold message was perceived as a positive for asset prices in the former British colony, where the currency is pegged to the U.S. dollar.
Shares of Sun Hung Kai Properties jumped 4.9%. Local Chinese press reported Thursday the developer will raise prices for remaining units in an apartment complex by 8% after the project received strong demand from the public.
Meanwhile, Hong Kong Exchanges & Clearing, operator of the city's stock and futures exchanges, saw its shares climb 3.3%.
Gains were linked to a report that a senior official at the Guangdong securities regulator suggested regulations be amended to allow residents to invest in Hong Kong's stock market.
In currencies, the U.S. dollar changed hands at 96.43 Japanese yen, up from 95.68 yen.
The euro was pushing back in Asia after falling sharply in Wednesday's New York trading in the wake of the Fed's policy statement, with the single currency at $1.3969 U.S., up from $1.3901 U.S. in New York and an overnight low of $1.3888 U.S.
Foreign-exchange traders said Japanese industrial companies were selling the yen against the euro and the U.S. and Australian dollars.
Elsewhere:
China’s Shanghai Composite Index settled back and took some profits, 2.81 points, to 3,117.92
Singapore’s Straits Times Index, however, progressed 23.50 points, or 1%, to 2,302.46
South Korea’s Kospi index moved higher by 28.94 points, or 2.1%, to 1,392.73
Taiwan’s Taiex jumped 77.53 points, or 1.2%, to 6,457.61
New Zealand’s NZX 50 Index muscled ahead 30.85 points, or 1.1% to 2,770.66
Australia’s S&P/ASX 200 tacked on 49 points, or 1.3%, to 3,856
