Asian markets rose Friday after sharp overnight gains on Wall Street and in crude-oil prices, with Japanese banks getting an additional thrust following the resignation of Financial Services Minister Shizuka Kamei.
Tokyo’s Nikkei 225 forged higher by 162.60 points, or 1.7%, to end the week at 9,705.25
In Hong Kong, the Hang Seng index leaped 239.68 points, or 1.2%, to 19,872.38
Japan's Nikkei Stock Average finished 1.7% higher, with banks climbing on news Shizuka Kamei, chief of the People's New Party, is quitting the Cabinet to protest the Democratic Party of Japan's decision to postpone postal overhaul bills until the next Diet session.
Mitsubishi UFJ Financial Group climbed 3.1% and Sumitomo Mitsui Financial Group added 1.4% and Shinsei Bank rose 3.3% as the reform of the postal system would have meant greater competition for banks and as Kamei was known to be keen on stricter regulation of consumer finance companies.
The yen's recent weakness also helped lift exporters, with Sony Corp. expanding 1.9%, Sharp Corp. climbing 3.9% and Canon Inc. rising 1.9%.
Resource stocks also rose in Sydney after Prime Minister Kevin Rudd said in an interview with Channel Seven that talks with miners probably will yield a deal on the controversial 40% super profit tax on mining companies, but he dismissed a report that such a deal would be announced within days, saying talks with miners would take "weeks and probably months." Australia's Herald Sun Friday reported that the Rudd government would announce major changes to the planned tax later in the day or on Saturday.
Rio Tinto rose 1.8%, BHP Billiton climbed 2.6% and Fortescue Metals Group added 3.8%, while Newcrest Mining added 1.5%.
In Hong Kong, shares of fashion retailer Esprit Holdings, which generates a large chunk of its cash in Europe, rose 1.6% as concerns over European economies eased. Oil explorer Cnooc was up 2.4% as crude-oil prices stayed above $75 U.S. a barrel level on Globex.
In foreign-exchange markets, the euro was lower after rebounding sharply on Thursday due to a rise in risk appetite and signs of stability in the euro-zone. The single currency was buying $1.2096 U.S. from $1.2138 U.S. late Thursday in New York, and 110.73 yen from 110.84 yen. The dollar was fetching 91.54 yen from 91.30 yen.
CHINA
Chinese shares advanced but underperformed the region as a slew of economic data painted a mixed picture of Asia's second biggest economy. Official numbers showed China's inflation accelerated while industrial output moderated, posing a challenge for the People's Bank of China on future policy.
Shanghai’s CSI 300 inched ahead 8.84 points, or 0.3%, to 2,758.87
Policy uncertainty crimped gains in China after data showed China's consumer price index rose 3.1% on-year in May, exceeding Beijing's 3% annual target and accelerating from April's 2.8% increase.
Commodity producers, which benefit from inflation, broadly advanced, with Baoshan Iron & Steel Co. rising 1.2% and Jiangxi Copper climbed 2.1%.
Traders said some investors were also locking in profits ahead of the extended holiday weekend as China's markets will be closed from Monday to Wednesday for the Dragon Boat Festival, capping gains.
Elsewhere;
Singapore’s Straits Times Index moved 16.71 points, or 0.6%, higher to 2,796.29
Korea’s Kospi index put on 23.64 points, or 1.4%, to 1,675.34
Taiwan’s Taiex index added 117.72 points, or 1.6%, to 7,299.49
New Zealand’s NZX index improved 38.94 points, or 1.3%, to 3,041.26
Australia’s S&P/ASX 200 gained 70.20 points, or 1.6%, to 4,505.50
