Japanese shares finished at their highest level in more than a year to lead a broad rally in Asia Tuesday after Federal Reserve Chairman Ben Bernanke signaled U.S. interest rates may remain at the current ultra-low levels.
In Japan, the Nikkei 225 Index rocketed up 236.91 points, or 2.4%, to 10,255.20, for its biggest percentage gain in more than five months.
In Hong Kong, the Hang Seng Index soared 378.05 points, or 1.8%, to 21,046.90
Bernanke’s comments were "an elixir" for investors grappling with uncertainty over the state of the global economy, said one expert.
Newcrest Mining Ltd. rose 1.5% and BHP Billiton Ltd. climbed 0.7% in Sydney, Nippon Light Metal Co. advanced 3% in Tokyo and Korea Zinc Co. soared 5.5% in Seoul.
Shares of Sumitomo Metal Mining Co. spiked 5.9% in Tokyo on news the Pogo gold mine in Alaska, of which it owns 85%, has found a gold deposit estimated at 40 metric tons.
The yen’s weakness after Fed Chairman Bernanke’s remarks supported many major Japanese exporters; Toyota Motor Corp. climbed 3.6% and Sony Corp. added 3.1%.
Honda Motor Co. gained 3.5% after a Nikkei report that the car maker would build a new Thailand plant that was less likely to be affected by floods than its existing facility, which had to shut down for a part of last year due to flooding.
Regional financials took back some ground lost in the previous session, with Japan’s Nomura Holdings Inc. jumping 4.1% after four straight days of losses.
Westpac Banking Corp. climbed 1.4% in Sydney, and Cathay Financial Holding Co. rose 1.2% in Taipei. Heavyweight HSBC Holdings PLC climbed 2.3% in Hong Kong, while China Construction Bank Corp. rose 2.5% in Hong Kong and 0.9% in Shanghai.
CHINA
Data released Tuesday by China’s National Bureau of Statistics showed the nation’s largest industrial groups saw their net income drop 5.2% in the first two months of the year from the year-earlier period.
The Shanghai CSI 300 faded 8.30 points, or 0.3%, to 2,547.14
Aluminum Corp. of China Ltd., or Chalco, rose 4.1% and Jiangxi Copper Co. gained 3.8% in Hong Kong; in Shanghai, Jiangxi Copper rose 1% and Zhongjin Gold Corp climbed 2%.
China Life Insurance Co. climbed 2.7% in Hong Kong and 0.9% in Shanghai, unaffected by a 45% drop in 2011 profit that the insurer had previously warned about.
In other markets;
Korea’s Kospi Index regained 20.57 points, or 1%, to 2,039.76
The Taiex index in Taiwan reacquired 61.84 points, or 0.8%, to 8,029.46
Singapore’s Straits Times Index picked up 44.41 points, or 1.5%, to 3,081.91
New Zealand’s NZX 50 Index gained 12.04 points, or 0.4%, to 3,483.96
Australia’s S&P/ASX 200 Index added 38.53 points, or 0.9%, to 4,301.33
