Asian stocks advanced Wednesday as investors stepped back into beaten-down equity markets, with sentiment helped by a strong rebound on Wall Street after the Federal Reserve pledged to keep rates low through mid-2013.
In Japan, the Nikkei 225 average regained 94.26 points, or 1.1%, to 9,038.74
Hong Kong’s Hang Seng Index added 452.97 points, or 2.3%, to 19,783.70
Gains in most markets lacked the firepower observed on their way down. The advance also lagged the extent of Tuesday’s gains on Wall Street.
Some traders were expecting markets to remain choppy on weakened global and U.S. economic outlooks.
BHP Billiton Ltd. climbed 3.6% in Sydney, paring this week’s losses, Japan’s Inpex Corp. rose 2.8%, and Cnooc Ltd. soared 6% in Hong Kong.
The performance was mixed among companies with a large exposure to demand overseas. South Korean blue-chip LG Electronics Corp. added 1.8%, paring this month’s losses to just under 23% and Hynix Semiconductor Inc. rose 4%, while Samsung Electronics Co. dropped 0.6%.
Tokyo-listed Elpida Memory Inc gave up early gains to finish 1.1% lower, while Advantest Corp. underperformed the wider market, climbing 0.5%. Each has lost at least 12% so far in August, ranking among the biggest losers.
Among financials, Bank of China Ltd. rose 1% in Hong Kong after shedding more than 7% Tuesday. Australia & New Zealand Banking Group Ltd. jumped 4.2% in Sydney, while Cathay Financial Holding Co. soared 6.9% in Taipei.
Commonwealth Bank of Australia rose 2%, less than the broader market, after saying the outlook for the current financial year was "challenging."
South Korean financials didn’t participate broadly in the rally, amid a cloudy economic outlook for the U.S. after the Fed’s decision to keep rates on hold for two more years.
KB Financial Group Inc. and Hana Financial Group Inc. each dropped 1.2% in Seoul.
Some Japanese banks also saw early-session gains fade, with Sumitomo Mitsui Financial Group Inc. adding a modest 0.3%, while Mizuho Financial Group Inc. dropped 1.7%.
Meanwhile, heavyweight HSBC Holdings PLC climbed 3.9% before trading in the stock was suspended in Hong Kong’s afternoon session. The trading halt came after the bank announced during the market’s midday break the sale of its U.S. card and retail services business to Capital One Financial Corp. for about $2.6 billion U.S.
The trading halt was because a disruption to an exchange-operated website affected the release of corporate announcements.
In other markets;
Shanghai’s CSI 300 Index improved 25.93 points, or 0.9%, to 2,824.12
Korea’s Kospi Index nosed up 4.89 points, or 0.3%, to 1,806.24
Taiwan’s Taiex Index moved higher 243.20 points, or 3.3%, to 7,736.32
Singapore’s Straits Times Index returned from holiday to remove 62.91 points, or 2.2%, to
2,821.09
New Zealand’s NZX 50 Index charged ahead 85.96 points, or 2.8%, to 3,183.74
Australia’s S&P/ASX 200 Index gained 106.50 points, or 2.6%, to 4,141.30
