Chinese stocks fell for a seventh straight session Friday as worries about inflation and slowing growth restrained buyers, while Japanese shares declined on concern over the nation’s economic outlook and the yen’s strength against the U.S. dollar.
In Japan, the Nikkei 225 average shuttled back 40.11 points, or 0.4%, to 9,521.94
Hong Kong’s Hang Seng Index muscled ahead 217.28 points, or 1%, to 23,118.10
The Chinese and Japanese markets defied broad regional gains, which came as bargain buyers circled back into stocks bruised in a selloff earlier in the week.
Exporters were generally crimped by a firm yen against the U.S. dollar, while Sony Corp. was also hurt after reporting a loss for the full-year ended March 2011, largely because of the impact from the March 11 earthquake and tsunami.
Sony dropped 3.2%, while Honda Motor Co. gave up 0.8% and Nintendo Co. declined 0.9%.
Economic data showing core consumer prices rose for the first time in more than two years also weighed on sentiment.
Nippon Sheet Glass Co. was among the gainers, rising 2.4% after Nomura Securities upgraded the stock to Buy from Neutral.
South Korean stocks advanced as foreigners remained buyers while bargain-hunting helped extend Thursday’s rally in other markets.
In Seoul, Hyundai Motor Co. added 2.1% and Kia Motors Co. inched up 0.3%, on top of their hefty gains the previous day.
Hanwha Corp. rose 1.5% after its unlisted affiliate Hanwha Engineering & Construction Thursday announced a $7.25 billion construction project order to build a new town in Iraq.
In Sydney, Woodside Petroleum Ltd. added 0.7% and Rio Tinto Ltd. gained 0.6%.
In foreign-exchange markets, the U.S. dollar suffered broad losses on the back of weak economic data Thursday.
The currency fell to 80.91 yen from ¥81.28 in late New York trade Thursday. The euro, meanwhile, climbed to $1.4238 U.S. from $1.4143 U.S. and to ¥115.18 from ¥114.98.
CHINA
Shanghai was the region’s worst performing benchmark index of the day and the week.
Shanghai’s CSI 300 Composite Index tailed off 15.07 points, or 0.5%, to 2,963.31
In addition to inflationary pressures and an expected economic slowdown in the second half of the year, investors in China have also been fretting over a potential liquidity squeeze because of the launch of a new board for foreign company listings in future.
Huaneng Power International Inc. declined 3.3%, Minmetals Development Co. shed 4.1% and Zhongjin Gold Corp. fell 2.6%.
Shares of PetroChina Co. rose 0.8% after the company announced that parent China National Petroleum & Chemical has raised its stake in the firm by about 0.2% and planned to further increase its stake by up to 2.0%. In Hong Kong, the PetroChina stock shot up 3.8%.
In other markets;
Taiwan’s Taiex Index progressed 21.60 points, or 0.3%, to 8,810
Korea’s Kospi index gained 8.33 points, or 0.4%, to 2,100.24
Singapore’s Straits Times Index added 11.82 points, or 0.4%, to 3,135.52
New Zealand’s NZX 50 edged up 0.37 points to 3,527.96
Australia’s S&P/ASX 200 gathered 23.80 points, or 0.5%, to 4,684
