Asian stocks ended mostly lower Monday amid concerns about the U.S. fiscal cliff, although mainland Chinese shares finished the year on an upbeat note after manufacturing data showed the sector extended its recovery.
In Hong Kong, the Hang Seng index shed 9.67 points, or 0.04%, to 22,656.92
Many regional markets were shut for New Year’s Eve, while some others were open only for a shortened trading day.
In Asia, bourses in Japan, South Korea, Thailand and Taiwan were all closed for a holiday.
Japan’s Nikkei Average and Hong Kong’s Hang Seng Index each rose 22.9% during the year, while Australia’s S&P/ASX 200, South Korea’s Kospi and Taiwan’s Taiex rose 14.6%, 9.4% and 8.9%, respectively.
In Hong Kong, a 0.7% drop for heavyweight HSBC Holdings PLC amid worries related to the cliff weighed on the market. The drop offset gains in Chinese insurance stocks, with China Life Insurance Co. adding 3.1%, and Ping An Insurance Group Co. improving by 1.9%
In Sydney, the losses were more prominent, with Alumina Ltd. losing 2.2%, Rio Tinto Ltd. falling 0.8%, and Newcrest Mining Ltd. retreating 1.5%.
On the upside in Sydney, Fairfax Media Ltd. rallied 7.4% after Australian media magnate John Singleton’s Gutenberg Investments took a stake in the company
CHINA
The Shanghai CSI 300 Composite Index gained 42.90 points, or 1.7%, to 2,522.95
Chinese insurers also climbed in Shanghai, with Ping An up 3.4%, and China Life 5.8% higher.
Resource stocks were also weighed despite upbeat Chinese manufacturing data.
Shares of Aluminum Corp. of China Ltd. and Angang Steel Co. lost 0.3% and 0.2%, respectively, in Hong Kong.
The Shanghai Composite managed to end the year 3.2% higher after staying weak for much of the year, thanks to an 8.8% rally in the last quarter.
The advance in Shanghai came after HSBC’s final reading of the China manufacturing Purchasing Managers’ Index printed at 51.5, an upward revision from a preliminary measure of 50.9, marking an improvement over November’s PMI of 50.5.
The result was the best for the data set since May 2011, with one expert saying the gains were “thanks to the faster new business flows and the end of destocking.”
In other markets
In Singapore, the Straits Times Index moved down 24.72 points, or 0.8%, to 3,168.57
New Zealand’s NZX 50 docked 14.39 points, or 0.4%, to 4,066.51
Australia’s ASX Index shaved off 22.40 points, or 0.5%, to 4,648.90
