Asian markets rebounded strongly Thursday, with overnight gains on Wall Street and unexpectedly-positive economic data from Japan boosting investor sentiment.
Japan's Nikkei 225 surged 321.05 points, or 3.7%, to 8,916.06, more than recovering lost ground in the previous two sessions.
The rally was triggered by official data from Japan showing that core machinery orders rose 1.4% in February from the previous month, defying expectations for a continued slump after a four-month run of contractions.
News that the Japanese government has moved closer to a larger-than-expected 15.4-trillion-yen ($154-billion U.S.) stimulus package of spending and tax cuts helped stretch early advances.
Shares of machinery maker Komatsu surged 6% and industrial robot maker Fanuc advanced 2.7%. Among other notable gainers, banking giant Mizuho Financial Group surged 10.1%, as investors shrugged off a ratings downgrade by Moody's.
Hong Kong's Hang Seng Index gained 3%, or 426.55 to 14,904.41.
Trading volumes were thin ahead of a long Easter weekend in some markets, with some investors also on the sidelines ahead of key indicators due next week in the U.S.
Insurance stocks rallied across the region, tracking their peers in the U.S. Tokio Marine Holdings gained 7.2% and Sompo Japan Insurance advanced surged 8.2% in Tokyo, China Life Insurance gained 4.9% in Hong Kong and QBE Insurance added 3.9% in Sydney.
In Hong Kong, shares of diversified conglomerate Citic Pacific jumped 12.1% as trading resumed after a management shakeout. The gains reflected expectations of a turnaround, following big losses suffered last year by the company due to bad foreign-exchange bets.
Resource stocks also advanced following an overnight increase in commodity prices. BHP Billiton rose 2.1% and Rio Tinto gained 1.9% in Sydney.
Aluminum Corp. of China, or Chalco, gained 5.1% in Hong Kong and Nippon Light Metal Co. climbed 6% in Tokyo.
CHINA
Shares of Ping An Insurance (Group) Co. of China advanced 7.7% in Hong Kong and 6% in Shanghai, despite reporting a 99% drop in 2008 profits on Wednesday. The results were impacted by writedowns linked to Ping An's investment in Fortis. Chinese shares advanced after falling sharply in the previous session
Elsewhere:
China’s Shanghai 300 Composite Index picked up 38.32, or 1.6%, to end the day at 2,517.67
Singapore’s Straits Times Index improved 44.45 points, or 2.5% to 1,828.51
South Korea’s Kospi Composite Index zoomed 54.28 points, or 4.3%, to 1,316.35
Taiwan’s Taiex Index surged 224.24 points, or 4.1%, to 5,667.80
New Zealand’s NZX Index edged ahead 2.24 points, or 0.1%, to 2,571.15
Australia's S&P/ASX 200 index was up 52.10 points or 1.4%, to 3,671.60
