Tokyo’s Nikkei index hit a five-month closing high as the outlook for exporters brightened, while South Korean stocks were pressured by tensions on the Korean Peninsula.
In Japan, the Nikkei 225 Index climbed 86.43 points, or 0.9%, to close Monday at 10,126, its highest close since June 21,
Hong Kong’s Hang Seng Index roared higher by 288.97 points, or 1.3%, to 23,166.20
Tokyo investors were heartened by data pointing to upbeat U.S. retail sales this past weekend, which marked the unofficial start to the Christmas shopping season.
Roughly 212 million shoppers visited a store or a website over the Black Friday weekend, 8.7% more than last year, according to the Washington-based National Retail Federation.
Among exporters, Sony Corp. closed up 2.8% at 2,970 yen ($35.36 U.S.) after Nomura Securities raised its rating to "buy" from "neutral" and its target price to ¥3,570 from ¥3,240.
Further gains in the U.S. dollar versus the yen were likely, analysts said, against the backdrop of stronger retail sales, tensions on the Korean Peninsula and question marks over financial stability in the euro zone after European leaders approved a $113-billion U.S. rescue package for Ireland over the weekend.
Toshiba’s shares rose 2.8% on news it’s in talks with Egyptian home-electronics maker El Araby to build a liquid-crystal-display plant in Egypt, aiming to tap into new demand in the Middle East and Africa.
South Korea stocks were in focus, with some analysts believing geopolitical risk will continue to weigh on the market until the joint U.S.-South Korea naval exercises, which began Sunday and are scheduled to last four days, wind down.
Technology shares were mixed, with Samsung Electronics down 0.1% while chip maker Hynix Semiconductor was up 0.6%. Korea Exchange Bank fell for the second straight day, down 5.9%, following Hana Financial Group’s announcement last week that it will take a 51% stake in KEB.
Hong Kong shares were higher, lifted by investors seeking out value-priced shares following the benchmark index’s 3.1% drop last week.
Cnooc ended 1.7% higher after saying Sunday that Bridas Corp., a 50-50 joint venture between the Beijing-based oil company’s international arm and Argentine-owned Bridas Energy Holdings, agreed to buy the 60% stake in Pan American Energy that it doesn’t already own.
Meanwhile, consumer-goods exporter Li & Fung climbed 4.7% amid stronger U.S. retail data. Alex Wong, an analyst at Ample Financial, said Li & Fung was the "obvious" choice among blue chips that should benefit from likely strong U.S. consumer spending during the holidays.
In Sydney, Australian stocks were under pressure as the Australian dollar fell to a seven-week low against the dollar, but a later rebound in the currency helped draw equity investors back to the market.
The euro was at $1.32390 U.S., compared with $1.3241U.S in late New York Friday, and off its high of $1.3274 U.S. earlier, and at ¥111.33, from ¥111.38 in New York, while the dollar traded as high as ¥84.20 yen and was at ¥84.09 yen in late trade, from ¥84.06 yen.
In other markets
Shanghai’s CSI 300 Index lost 4.80 points, or 0.2%, to close at 3,190.05
Singapore’s Straits Times Index inched ahead 0.13 points to 3,158.21
Korea’s Kospi Index eased 6.26 points, or 0.3%, to 1,895.54
Taiwan’s Taiex Index advanced 55.02 points, or 0.7%, to 8,367.17
New Zealand’s NZX 50 Index gained 6.14 points, or 0.2%, to 3,270.38
Australia’s S&P/ASX 200 Index moved up 20.20 points, or 0.4%, to 4,618.50
