Asia markets rose Wednesday, with the resource sector helping most regional benchmarks complete a three-day winning streak amid hopes for further U.S. monetary easing, though Chinese shares lagged on caution a day before key economic data.
In Japan, the Nikkei 225 Index surged 77.85 points, or 0.9%, to 8,881.16
The Hang Seng Index in Hong Kong shaved off 7.03 points to 20.065.52
Resource-sector shares found buyers across the region Wednesday.
JFE Holdings Inc. gained 2.1% and Mitsui Mining & Smelting Co. rose 7.8% in Tokyo, Fortescue Metals Group Ltd. rose 2.7%, and Newcrest Mining Ltd. climbed 2.1% in Sydney and Posco 1.6% higher in Seoul.
China Coal Energy Co. gained 1.8% and PetroChina Co. edged 1.1% higher in Hong Kong; in Shanghai, the stocks inched up 0.8% and 0.1%, respectively.
Among other Hong Kong advancers, Standard Chartered PLC rose 0.8%, recovering a bit from the previous session’s selloff in the wake of accusations the firm hid transactions involving Iran. Standard Chartered has challenged the allegations.
Exporters performed well in much of Asia, particularly in Tokyo, where Sony Corp. gained 0.9% and Advantest Corp. shot up 3.2% after the yen weakened overnight.
The Bank of Japan was due to announce its latest policy decision on Thursday, and economists would be looking for any sign the central bank will act to steer the economy toward its 1% inflation goal.
Also in Tokyo, Nikon Corp. rose 2.6% after reports that the firm is heading for a tie-up with Intel Corp.
Sharp Corp. advanced 2.7% following a Nikkei news report that Hon Hai Precision Industry Co. would soon publicly confirm its investment in Sharp remains in place despite concerns to the contrary. Hon Hai ended little changed in Taipei.
Separately, the Yomiuri Shimbun reported Wednesday that Sharp has started talking to creditor banks about a current plan designed to strengthen its finances.
Shares of Pioneer Corp. fell 7% in Tokyo after swinging to a quarterly loss.
In Sydney, losses for telecom major Telstra Corp., one of Australia’s most widely owned firms, fell 2.5%, as UBS downgraded the stock to neutral from buy, citing the company’s recently strong share price performance. The decline kept gains for the broader Australian market in check.
In Hong Kong, airline Cathay Pacific Airways Ltd. tumbled 4.3% after reporting that it swung to a first-half net loss due to higher fuel costs and weaker demand. Shares of fashion retailer Esprit Holdings Ltd. tumbled 12.2% a day after they surged 28% in response to the appointment of Jose Manuel Martinez as its new chief executive.
CHINA
The July data due Thursday is expected by analysts to show a further decline in China’s inflation and a slowdown in some other economic indicators. Furthermore, figures to be released on Friday are also expected to show that exports growth is weakening.
Shanghai’s CSI 300 index eked ahead 0.92 points to 2,389.80
In other markets
Taiwan’s Taiex Index added 24.34 points, or 0.3%, to 7,319.80
Korea’s Kospi Index gained 16.43 points, or 0.9%, to 1,903.23
Singapore's Straits Times Index shed 15.49 points, or 0.5%, to 3,052.25
New Zealand’s NZX index docked 3.02 points, or 0.1%, to 3,581.79
Australia’s ASX Index gained 21 points, or 0.5%, to 4,312.56
