Asian stocks advanced on Thursday after a positive lead from the U.S., with Japan rebounding from a one-week closing low.
Japan’s Nikkei 225 index recovered 41.88 points, or 0.3%, to 15,308.49.
The Hang Seng Index in Hong Kong raced ahead 331.13 points, or 1.5%, to 23,197.83
Australian markets pepped up, while the Australian dollar strengthened to 94.09 U.S. cents from 94.03 a day earlier.
In Japan, market movers included IT service provider Fujitsu, up 3.7%; heavy equipment maker Komatsu, adding 1.6%; and electronics manufacturer Hitachi, 1.1% higher.
In Hong Kong, casino stocks had a solid rebound, after Macau reportedly clarified that it only told casinos to stop adding new UnionPay payment card terminals, after a recent report said the city’s authorities had ordered jewelry stores and pawnshops within casinos to remove the terminals in order to curb illegal money transfers from China.
Wynn Macau jumped 5.5%, Sands China climbed 4%, and both MGM China Holdings and Galaxy Entertainment Group advanced 3.7%.
In Shanghai, media stocks were among top gainers, with Northern United Publishing & Media (Group) jumping 5.6%, and Guanghe Landscape Culture Communication Co. gaining 3.4%.
For a long time, Japan has kept a tight grip on its corporate treasuries. In 2003-2013, for example, large Japanese companies offered an average return on equity of just 6%, compared to almost 14% in the U.S. and above 12% worldwide.
But this appears to be changing for a number of reasons.
For one thing, Japanese corporations are sitting on more cash than they have in the past. Also, new reforms under Prime Minister Shinzo Abe’s government are offering more of a voice to institutional investors. And a record number of foreign investors, raised on a diet of buybacks and dividends, are now in the Tokyo market.
In other markets;
The Shanghai CSI 300 moved up 15.71 points, or 0.7%, to 2,149.08
In Korea, the Kospi index regained 13.28 points, or 0.7%, to 1,995.05
Singapore’s Straits Times Index gained 17.03 points, or 0.5%, to 3,278.57
In Taiwan, the Taiex index hiked 78.78 points, or 0.9%, to 9,320.94
In New Zealand, the NZX 50 added 25.61 points, or 0.5%, to 5,130.15
Australia’s S&P/ASX 200 gained 62.31 points, or 1.2%, to 5,462.32
