Chinese and Japanese markets managed to shrug off early losses to finish higher Monday, though several other major Asian bourses saw losses.
Japan’s Nikkei 225 Index took baby steps up, gaining 8.03 points, or 0.1%, to finish at 9,010.71
In Hong Kong, the Hang Seng Index improved 145.79 points, or 0.7%, to 21,697.55 to run its winning streak to eight sessions.
Asian equities had started the day on a down note after U.S. stocks skidded Friday, pressured by data and some poorly received earnings from some major companies.
Financials and related firms gained in Hong Kong on Monday, with bourse operator Hong Kong Exchanges & Clearing Ltd. climbing 3.5% after the territory was forced to enter the market to depress its currency, suggesting strong investing inflows.
The GDP and some above-forecast September data provide a sign that the Chinese economy could be bottoming out, and given those circumstances, "it’s reasonable for money to be coming into Hong Kong," one expert said.
The Hong Kong Monetary Authority stepped into the market last Friday for the first time in three years to weaken the Hong Kong dollar so as to maintain its peg with the U.S. dollar, according to reports. Yip said the move was a clear sign of inflows to Hong Kong.
Property companies, which also tend to benefit from strong investment inflows, likewise moved higher, with Sun Hung Kai Properties Ltd. up 1%, and Henderson Land Development Co. finishing with a gain of 2.1%.
However, some Hong Kong-listed exporters weakened, with Li & Fung Ltd. down 0.9%, Lenovo Group Ltd. losing 1.1%, and Foxconn International Holdings Ltd. retreating 3.7%. A Wall Street Journal report late Friday said that Japan’s Nintendo Co., a client of Foxconn’s parent group, planned to investigate the company’s use of child labour.
Over in Tokyo, the market opened sharply lower, suffering as Japanese trade data early Monday showed that the country’s exports fell a larger-than-expected 10.3% in September compared to a year earlier, hit by a heavy drop in shipments to China and Western Europe.
Exporters help lead the early losses for Japan, but many major names swung to gains in the afternoon as the dollar rose against the yen.
By the Tokyo close, the U.S. currency was trading at ¥79.56, well above its ¥79.31 level in late trading Friday. The advance above ¥79.50 in particular helped trigger stop-loss orders that supported the dollar against the yen, according to Dow Jones Newswires.
Amid a weakening yen, Pioneer Corp. climbed 2.1%, NEC Corp. added 2.2%, Mitsubishi Motors Corp. improved by 2.9%, and Mazda Motor Corp. advanced 1%.
Shares of Sharp Corp. rallied 7.4% after recent losses, following reports that the firm is set to increase the number of plants that will produce its latest liquid-crystal-display panels.
On the downside, however, Sony Corp. shed 0.4% after the company said Friday it plans to cut some 2,000 Japan-based jobs to cut costs, while Mitsubishi Corp. dropped 1.8% after the trading house late Friday cut its revenue and profit forecast for the current fiscal year.
In South Korea, Hyundai Motor Co. gave up 0.9%, and LG Electronics Inc. lost 1%, though heavyweight Samsung Electronics Co. managed to gain 1%.
Korean financials also saw some sharp losses, with Hana Financial Group Inc. dropping 2.6% and Woori Finance Holdings Co. ending down 1.4%.
Commodity futures recorded steep losses in New York on Friday as investors flocked to the U.S. dollar, with benchmark oil futures down 2%, gold futures dropping more than $20 U.S. an ounce, and copper futures losing nearly 11 cents U.S. per pound.
Though some commodities pared those losses Monday, the declines helped weigh on Australian miners. Rio Tinto Ltd. fell 2.4%, while Fortescue Metals Group Ltd. lost 2.1%, Alumina Ltd. gave up 2%, and BHP Billiton Ltd. dropped 0.9%.
On the upside, Australian agribusiness concern GrainCorp Ltd resumed trading after a halt to jump 39%.
The firm said that it received a conditional cash takeover proposal from U.S. firm Archer Daniels Midland Co. of 11.75 Australian dollars ($12.12 U.S.) a share. Monday’s gains led GrainCorp to close above the offer price at A$12.30.
In other markets
The CSI Shanghai Composite Index edged up 9.12 points, or 0.4%, to 2,341.59
The Singapore Straits Times Index faded 3.25 points, or 0.1%, to 3,045.67
Korea’s Kospi index dipped 2.25 points, or 0.1%, to 1,941.59
Taiwan’s Taiex Index fell 35.72 points, or 0.5%, to 7,373.04
Markets in New Zealand had the day off
Australia’s ASX Index sifted off 30.08 points, or 0.7%, to 4,541.
