Asian stocks rose Tuesday, taking back some of the previous session’s steep losses, as anxiety over Europe’s debt crisis calmed a little following a report that China might step in and buy Italian bonds.
In Japan, the Nikkei 225 average regained 80.88 points, or 1%, to close at 8,616.55
Some exporting car makers also advanced on Tuesday, with Mitsubishi Motors Corp. up 3.1%, and Honda Motor Co. rising 1.3%.
Suzuki Motor Corp. climbed 3.6% after it said late Monday that it wants to end its partnership agreement with Germany’s Volkswagen AG
Volkswagen said it would seek to keep an agreement between the two firms’ in place and Nomura analysts noted "Volkswagen paid 2,061 yen a share for its stake in Suzuki back in January 2010. Suzuki’s current share price is well below this acquisition price, denominated in yen."
Technology shares were also strong in Japan on Tuesday, with Elpida Memory Inc. jumping 12.8%, and Renesas Electronics Corp. gaining 5.1%.
Investors may be hoping that the sector will see some deal activity after U.S. technology firms gained late Monday following news that Broadcom Corp. said that it would pay $3.7 billion for U.S. chip firm NetLogic Microsystems Inc.
Financials were particularly hard-hit in the recent turmoil as investors worried about the possibility of tighter funding markets, but the sector took back some ground on Tuesday, with Westpac Banking Corp. gaining 0.6% in Sydney, and Daiwa Securities Group Inc. up 2.8% in Tokyo.
A turnaround for oil futures in regular trading on Monday helped some Asian-listed energy firms, with Australia’s Santos Ltd. up 2.8%, and Japan’s Inpex Corp. up 1.6%.
Hong Kong markets had the day off, likewise Korea.
Taiwan shares were weak as HTC Corp. shares dropped 4.9%, while Foxconn Technology Co. shares fell 6.4% in the technology sector.
CHINA
Investors were selling out of mainland Chinese-listed resource firms
Shanghai’s CSI 300 Composite Index shaved off 30.81 points, or 1.1%, to 2,720.28
Aluminum Corp. of China Ltd., or Chalco down 1.7% and Jiangxi Copper Co. down 1.9%.
In the Chinese property sector, China Vanke Co. shares fell 4% while Gemdale Corp. shares lost 1.2%.
China’s banking regulator has reportedly asked banks to tighten up supervision of commercial housing mortgages and consumer loans and warned on risks for some property markets.
In other markets;
Taiwan’s Taiex Index plummeted 219.20 points, or 2.9%, to 7,391.37.
Singapore’s Straits Times Index fell back 14.21 points, or 0.5%, to 2,729.37
New Zealand’s NZX 50 Index gained back 21.60 points, or 0.7%, to 3,285.41
Australia’s S&P/ASX 200 Index regained 34.20 points, or 0.9%, to 4,072.70
