Some Asian markets advanced, with South Korean stocks rising on a positive earnings outlook, while Hong Kong shares rode higher as Chinese airlines and banks gained on attractive valuations.
The Nikkei 225 index in Tokyo inched up 6.16 points to end the week at 10,842.80
Hong Kong’s Hang Seng Index raced ahead 293.40 points, or 1.3%, to 23,595.20
In Japan, JFE Holdings and Nippon Steel Corp. were off 1.7% and 1%, respectively, on a Nikkei report that resource giant BHP Billiton has notified major Japanese steel makers that it wants coking coal prices, which are now determined quarterly, to be set monthly starting in April.
Softbank Corp. advanced 1.6% after the Japan Credit Rating Agency raised its rating on Softbank bonds on Thursday to A-minus from BBB-plus.
The South Korean market rebounded strongly as foreigners, who were net sellers in recent sessions, plowed money back into local stocks.
Gains were also supported after Deutsche Bank raised its 2011 year-end target for the Kospi, citing stronger-than-expected growth momentum in exports, likelihood of further earnings upgrades and "still compelling market valuations."
Shares of Hyundai Heavy Industries Co. rose 2.7% and GS Engineering & Construction Co. added 5.8%, while Korea Kumho Petrochemical Co. jumped 5.2%.
Daewoo Shipbuilding & Marine Engineering rose 5.7% after a person familiar with the matter told Dow Jones Newswires Friday the shipbuilder has received a $2-billion U.S. order to build 10 container carriers for A.P. Moeller-Maersk.
In Hong Kong, shares of Chinese airlines climbed on concerns they had been oversold over the past few months amid worries about a slowdown in passenger volume growth. Air China climbed 2.2% and China Eastern Airlines Corp. added 3.6%.
Banks also rose on hopes the recent rate increases, including one earlier this month, would be positive for their interest-rate margins. Bank of China climbed 2% and Industrial & Commercial Bank of China added 1.9%.
In Sydney, Australia & New Zealand Banking Group fell 3% despite its first-quarter results being in line with expectations.
Billabong International jumped 6.4% after the surf wear retailer retained its full-year guidance on the back of improving U.S. business.
Woodside Petroleum rose 0.6% in Sydney and Inpex Corp. added 1.4% in Tokyo, while Cnooc rose 0.7% in Hong Kong. Among gold miners, Zijin Mining Group Co. added 2.6% in Hong Kong and 0.7% in Shanghai, while Newcrest Mining edged up 1.4% in Sydney.
In foreign-exchange markets, the euro was fetching $1.3581 U.S. from $1.3609 U.S. late in New York on Thursday, and 113.20 yen from ¥113.39. The dollar was at ¥83.37, compared with ¥83.32, and at 0.9522 Swiss francs, from CHF0.9498.
CHINA
Chinese shares fell for the first time in seven sessions Friday as investors concerned about potential tightening measures from Beijing sold down cement and auto sector shares ahead of the weekend.
Shanghai’s CSI 300 Index erased 34.03 points, or 1.1%, to 3,211.88, losing ground after a report in the state-run China Securities journal cited several unnamed analysts as saying that the central bank may hike the reserve-requirement ratio for banks in the near term.
Shares of Anhui Conch Cement Co and Tangshan Jidong Cement Co. each lost 1.9%, while Anhui Jianghuai Automobile Co. slid 2.4% to give up some of their solid gains so far in February.
Recent weakness in global commodity markets also weighed on metal companies; Jiangxi Copper slid 2.7% and Aluminum Corp. of China fell 2.2%.
In other markets;
Taiwan’s Taiex Index reversed course and galloped ahead 159.96 points, or 1.8%, to 8,843.84
Korea’s Kospi Index regained 35.92 points, or 1.8%, to 2,013.14
Singapore’s Straits Times Index prospered 4.09 points, or 0.1%, to 3,086.92
New Zealand’s NZX 50 gained 17.04 points, or 0.5%, to 3,412.74
Australia’s S&P/ASX 200 dropped 1.70 points to 4,936.70
