Asian markets ended mixed Friday, with concerns about the U.S. economy and weak earnings performance from banks hurting shares in Japan. Chinese shares in Shanghai and Hong Kong rebounded in the afternoon as bargain buyers snapped up financial shares such as China Life Insurance Co.
The benchmark Nikkei 225 index fell to its lowest level in two weeks. The key index finished the session at 13,094.59, down 282.22 points or 2.1%, its lowest level since July 18. The Hang Seng index closed up 131.50 points or 0.58% at 22,862.60.
In economic news, the Japan Automobile Dealers Association said that sales of new cars, trucks and buses, excluding mini vehicles, rose 5.4% to 302,568 units. Sales rose for the first time in three months. Car sales rose 9.3% to 267,725 units, while sales of buses fell 14.7% to 1,228 units and truck sales declined 17.6% to 33,615 units.
The financial sector witnessed selling after major companies posted weak earnings. Mizuho Financial Group plunged 3.6% after the bank's quarterly results released Thursday showed a fall in its core business. Sumitomo Mitsui Financial Group tumbled 7.7% after the banking group reported a 51.5% fall in quarterly earnings on Thursday. Mitsubishi UFJ Financial dropped 4.3% and top brokerage Nomura Holdings fell 3.9%.
In the technology sector, NEC Corp slumped 16.5% after the electronic company said Thursday that its operating profit fell 63.7% in the June quarter, hit hard by higher development costs for new cellular handsets. Sharp plummeted 5.1% after the reported a 14% fall in operating profit for the June quarter.
Among auto stocks, Honda slipped 0.3%, Toyota lost 1.1%, Suzuki plunged 5.9%, Mazda fell 3.4% and Mitsubishi Motors gave away 2.2%. On Thursday, Suzuki and Mazda had reported decline in quarterly profits that was largely in line with expectations, even as they maintained their outlook.
Oil explorer Inpex Holdings tumbled 7.0%, Nippon Oil plunged 5.4% and Nippon Mining Holdings fell 4.3% on weaker oil prices. However, Showa Shell advanced 0.3%.
The Chinese market closed higher, paring early losses, after President Hu Jintao reiterated the government's intention to maintain steady and fast economic growth.
Gainers were led by financial and property stocks. Textile and clothing companies also rose after the government raised export rebates for these sectors to 13% from 11% earlier.
The benchmark Shanghai Composite Index closed up 26.10 points or 0.94% at 2,801.82 after three days of losses. For the week, the key index has lost 2.21%.
Elsewhere:
Taiwan's Taiex closed down 0.3% at 7,002.
Singapore's STI closed down 0.8% at 2,906.
Malaysia's KLCI closed down 0.3% at 1,159.
Indonesia's Jakarta Composite index closed down 2.4% at 2,248.
India's Sensex closed up 2.3% at 14,680.
Australia's S&P/ASX 200 shed 1.5%.
South Korea's Kospi lost 1.3%.
New Zealand's NZX 50 index gave up 1%.
with files from other wire services
