Asian markets ended mostly higher Monday as Moody's lifted its outlook on China and Hong Kong, helping to fuel advances in those markets.
In Tokyo, the Nikkei 225 index added 19.64 points, or 0.2%, to 9,809.99.
In Hong Kong, the Hang Seng Index leaped 377.83 points, or 1.7%, to 22,207.55.
AXA Asia Pacific Holdings jumped 32.6% after the company rejected an 11.04-billion-Australian-dollar ($10.3-billion-U.S.) cash and equity takeover proposal from AMP, despite the deal having the backing of its French parent, AXA SA.
Commonwealth Bank of Australia jumped 4.5% after it reported a first-quarter cash profit of A$1.4 billion. Orica , the world's largest explosives maker, added 5.6% after posting a modest rise in fiscal year earnings and providing a positive outlook for the current year.
In Hong Kong, shares of market heavyweight HSBC rose 2.4% and Hang Seng Bank gained 1.6% after similar outlook upgrades from the ratings agency.
Japanese insurance plays surged after two companies boosted their earnings outlooks Friday. Tokio Marine Holdings added 4.3% and Mitsui Sumitomo Insurance jumped 8.1%.
The market gains were curbed by banks, however, amid concerns they may have to sell shares to boost capital, with Mizuho Financial Group falling 1.7% and Sumitomo Mitsui Financial Group dropping 3.2%.
In Seoul, Ssangyong Motor fell by its daily limit of 15% after a Seoul-based court on Friday said it would hold a new hearing on Dec. 11 to decide the fate of the debt-ridden firm, as creditors failed to agree on a rescue plan.
CHINA
The Shanghai 300 Composite Index gained another 12.77 points, or 0.4%, to 3,495.79.
Shanghai shares rebounded from early losses after Moody's Investors Service raised China's sovereign ratings outlook to "positive" from "stable", saying credit fundamentals are likely to continue to improve as the country emerges from the global recession. Moody's also lifted the outlook on Hong Kong government bond ratings to "positive" from "stable".
Shares of major Chinese banks extended gains after the ratings agency also lifted their credit outlook to positive from stable. Among them ICBC gained 3.1%, Bank of China rose 2.6% and China Construction Bank advanced 3.1% in Hong Kong. In Shanghai, ICBC gained 0.6% and Bank of China rose 0.2%, while China Construction Bank fell 0.2%.
Elsewhere:
Taiwan’s Taiex index picked up 73.65 points, or 1%, to 7,536.70
Singapore’s Straits Times index was up 35.17 points, or 1.3%, to 2,693.38
Korea’s Kospi index gained 4.33 points, to 0.3%, to 1,576.79
New Zealand’s NZX Index finished 4.90 points, or 0.2%, higher to 3,165.06
Australia’s S&P/ASX 200 gained 80.90 points, or 1.8%, to 4,674.90
