South Korean stocks ended lower Thursday after technology major Samsung Electronics Co. provided weak earnings guidance, while Japanese shares inched up as exporters drew more support from the yen’s recent weakness against the U.S. dollar.
The Nikkei 225 Index picked up 6.56 points to 9,590.93. South Korean stocks ended lower Thursday after technology major Samsung Electronics Co. provided weak earnings guidance, while Japanese shares inched up as exporters drew more support from the yen’s recent weakness against the U.S. dollar.
Among exporters, Mazda Motor Corp rose 1.7% and Canon Inc. added 0.4%.
Sony Corp. rose 0.2% after saying it has resumed some operations at several plants, while Toyota Motor Corp. gained 0.9% on news of partial production restarts. Elpida Memory Inc. advanced 2.7% on a Nikkei report that the company has developed a new chip for smartphones and other devices.
Hong Kong’s Hang Seng Index sifted off 3.25 points to 24, 281.80
The Kospi dropped in Seoul, pressured by a 1.5% drop in Samsung shares after the company said its first-quarter operating profit probably fell 34.2% on year to 2.9 trillion Korean won ($2.67 billion U.S.), raising worries about the demand outlook for consumer electronics. Samsung’s earnings guidance is closely watched by the market as a gauge of overall demand for various technology products given its diversified businesses.
Telecommunication stocks underperformed the broad market after a local media report on Wednesday said that South Korea’s telecommunications regulator will announce plans to lower telecom service charges next month. SK Telecom Co. fell 1.2% and KT Corp. shed 1.3%.
Australian shares ended lower after rising 10% over the past three weeks, with the rapid appreciation of the Australian dollar and oil prices offering short-term obstacles. The fall came even as data showed a month of strong employment gains in March, keeping the central bank on track to hike rates.
BHP Billiton Ltd. fell 0.6% and Newcrest Mining Ltd. shed 0.5% among miners. Stock market operator ASX Ltd. dropped 0.8%, extending losses after Australian Treasurer Wayne Swan on Tuesday effectively rejected a proposed takeover bid by Singapore Exchange Ltd.
The euro, meanwhile, took a breather against the U.S. dollar and the yen after posting big gains on Wednesday. The European Central Bank is widely expected to deliver a 0.25-percentage-point rate hike later Thursday. Expectations for the rate hike have even managed to overshadow the euro-zone debt crisis for now, with traders looking past Portugal’s request on Wednesday for a financial bailout from the European Union.
The single currency was fetching $1.4291 U.S. from $1.4331 U.S. late Wednesday in New York, and ¥121.86 from ¥122.48. The dollar was at ¥85.26, compared with ¥85.48.
In other markets;
Shanghai’s CSI 300 Composite Index gained a slight 13.35 points or 0.4%, to 3,324.07
Korea’s Kospi Index slipped 3.72 points, or 0.2%, to 2,126.71
Taiwan’s Taiex Index progressed 149.74 points, or 0.6%, to 8,901.72
Singapore’s Straits Times Index tacked on 1.32 points to 3,171.65
New Zealand’s NZX 50 added 0.48 points to 3,450.36
Australia’s S&P/ASX 200 slid 4.80 points, or 0.1%, to 4,908.10
