Hong Kong stocks rallied to lead most Asian markets Thursday, as energy producers climbed after an increase in oil prices and a modest fuel price cut in China, while South Korean equities got a lift from better-than-expected economic growth data.
In Japan, the Nikkei 225 index gained 82.62 points, or 0.6%, to 13,926.08
Hong Kong’s Hang Seng Index added another 218.19 points, or 1%, to 22,401.24
Japanese shares were aided by strong advances for banks amid expectations for an economic recovery.
The advance in Japan came as the U.S. dollar continued its struggle to breach the 100-yen level, a major psychological milestone, and despite steep post-earnings losses for major firms such as Canon Inc. and Nintendo Co.
Financials were among the best performers in Tokyo, with Sumitomo Mitsui Financial Group Inc. climbing 3.3% and Mitsubishi UFJ Financial Group Inc. rising 2.2%.
Shares of Daiichi Sankyo Co. rose 1.7% after the Nikkei business daily tipped a 10% increase in the drug maker’s operating profit for the current year.
Canon sank 6.4% after reporting a year-on-year drop in first-quarter report.
Nintendo tumbled 5.5% after the videogame firm swung to a quarterly profit, though missing analyst estimates.
The advance precedes Friday’s policy decision from the Bank of Japan, with economists expecting no major changes to be announced after the central bank unveiled a major monetary stimulus at its previous meeting.
Markets in Seoul gained on word that South Korea’s gross domestic product hiked 0.9% during the first quarter of the calendar year.
The increase was three times the growth seen in the preceding quarter, and higher than expectations for a 0.7% expansion.
Gains in Hong Kong were led by the energy sector, with PetroChina Co. and Sinopec — formally known as China Petroleum & Chemical Corp. — climbing 1.4% and 2%, respectively.
Cnooc Ltd. climbed 2.9%, aided by higher oil prices.
The gains came after Beijing lowered the administered prices of gasoline and diesel in China with effect from Thursday. Dow Jones Newswires calculations put the price cuts at 4.2%-4.7%, less than the 5.9% drop in the value of China’s crude-oil basket since March 27, when fuel prices were last cut.
Shipbuilding, automobile and other industrial stocks advanced in Seoul, with Samsung Heavy Industries Co. gaining 27%, Hyundai Steel Co. rising 4.3%, and Kia Motors Corp. advancing 4.4%.
But financial stocks declined as investors digested Thursday’s economic growth data; shares of KB Financial Group Inc. lost 0.7%, and Hana Financial Group Inc. fell 0.5%.
CHINA
Mainland Chinese stocks dropped after a choppy session ahead of a slew of major earnings reports.
The Shanghai CSI 300 docked 27.70 points, or 1.1%, to 2,467.88
In Shanghai trade, Sinopec gained 0.6%, while PetroChina edged up 0.1%.
Shares of several companies that were due to report results later in the day contributed to the choppy trade in Shanghai and Hong Kong.
Among them, Bank of China Ltd. rose 0.6%, Cosco Pacific Ltd. added 0.6%, and China Unicom Hong Kong Ltd. slipped 0.2% in Hong Kong.
In Shanghai, China Life Insurance Co. fell 1.7% and Yanzhou Coal Mining Co. lost 1.7% ahead of their respective financial reports.
In other markets;
In Korea, the Kospi Index surged 16.29 points, or 0.8%, to 1,951.60
In Taiwan, the Taiex Index doffed 1.96 points to 8,021.75
The Singapore Straits Times Index advanced 15 points, or 0.5%, to 3,337.71
Markets in New Zealand and Australia were closed for ANZAC Day
