Asian stocks fell, after Isuzu Motors Ltd. and Elpida Memory Inc. reported losses.
The Nikkei 225 index in Tokyo eased off Tuesday’s 10-month peak, losing 122.48 points, or 1.2%, to 10,252.53. The index has gained 29% in the past six months.
In Hong Kong, the Hang Seng index slid 301.66 points, or 1.5%, to 20,494.77.
Isuzu, Japan’s largest maker of light-duty trucks, sank 4.7% and Elpida, the country’s biggest computer-memory chipmaker, slumped 5.1%. Sun Hung Kai Properties Ltd., the world’s biggest developer by value, dropped 4.7% in Hong Kong as the city’s home sales fell.
David Jones Ltd., the department-store chain, dropped 8.4% after reporting a decline in same-store sales. Limiting declines in Australia, Axa Asia Pacific Holdings Ltd., a unit of France’s biggest insurer, climbed 2.3% as it returned to profitability. Westfield Group, the world’s biggest shopping centre owner by value, rose 0.8% after UBS AG upgraded the stock.
Reports this week from China, Europe and the U.S. pointed to improving manufacturing industries in the three regions, while U.K. consumer confidence rose to the highest level in more than a year last month as house prices stopped falling, Nationwide Building Society said.
Companies from Nissan Motor Co. to Samsung Electronics Co. have reported earnings in the past two weeks that exceeded analyst estimates, lifting the average valuation of companies in the MSCI Asia Pacific Index to 25 times estimated profit, the highest level since March 30.
Hallenstein Glasson Holdings Ltd., a New Zealand clothing retailer, dropped 1.1% in Wellington. Full-year profit fell 23% as the company cut prices to boost sales amid a recession.
New World Development Co., controlled by billionaire Cheng Yu-tung, lost 4.4%. Henderson Land Development Co. sank 4.6%.
The value of residential units changing hands in Hong Kong dropped 12.4% in July from a month before, to HK$43.6 billion ($5.6 billion U.S.), according to the city’s Land Registry.
Hong Kong Aircraft Engineering Co., Swire Pacific Ltd.’s maintenance unit, tumbled 8% after reporting lower profit and predicting a "substantially weaker" second half.
Westfield rose 0.8% after UBS AG upgraded its stock rating to "neutral" from "sell." China Railway Group Ltd., the nation’s largest construction company by assets, climbed 7.7% after Goldman Sachs Group Inc. recommended investors buy the stock, citing an earnings recovery in the second half of the year.
CHINA
Shanghai’s 300 Composite Index skidded 45.68 points, or 1.2%, to 3,740.94. Industrial Bank Co. slid 3.8% in Shanghai, contributing to the first decline in Chinese stocks in five days amid valuation concerns.
Jiangxi Copper Co., China’s largest producer of the metal, dropped 2.2%. The company, whose shares have more than quadrupled this year, last week said first-half profit may decline by more than half.
Elsewhere:
Singapore’s Straits Times Index was 41.93 points, or 1.6%, lower, to close at 2,606.83.
South Korea’s Kospi index finished down 6.90 points, or 0.4%, to 1,559.47
Taiwan’s Taiex shed 107.63 points, or 1.6%, to 6,848.24
New Zealand’s NZX 50 Index dropped 8.73 points, or 0.3%, to 3,084.07
Australia’s S&P/ASX 200 let go of 44.80 points, or 1%, to 4,264.50
