Asian markets ended mostly higher Tuesday, propelled by Wall Street's advance and gains in technology stocks after an upbeat earnings outlook from Texas Instruments Inc.
The Nikkei 225 index in Tokyo resumed business after a long weekend, and climbed 2.7%, or 256.70 points, to 9,652.02
In Hong Kong, the Hang Seng Index cooled off 0.64 points, to close at 19,501.73, after several consecutive upward sessions showing spectacular gains.
As the Asian session started, sentiment was helped by confirmation CIT had avoided bankruptcy proceedings. It announced it had entered a $3-billion U.S. loan facility and was initiating a recapitalization plan.
Tech stocks were supported by a solid outlook from Texas Instruments, even though its second-quarter profit dropped 56% on lower sales and margins.
In Tokyo, Nikon Corp. was up 6.2% and Sharp Corp. rose 3%. Korea's Hynix Semiconductor Inc. added 2.7%, and Taiwan's United Microelectronics Corp. was up 2.4%.
In Japan, Prime Minister Taro Aso obtained his cabinet's consent Tuesday to dissolve the Lower House and call a general election on Aug. 30. Although the move had been widely expected, some analysts cited it as a reason for improved sentiment.
But the container-shipping sector was awash with red: Neptune Orient Lines shed 2.4% in Singapore after reporting average revenue per 40-foot-equivalent-unit container fell 29% year-to-year in the May 30 to June 26 period. In Hong Kong, China Shipping Development Co. lost 1.9% and China Cosco Holdings fell 1.3%.
In Australia, resource stocks gained on strength in metals prices, with Rio Tinto Ltd. up 2.9%. Building stocks were also in favor with Boral Ltd. up 2.4%.
Currency-market trade was choppy as investors awaited Federal Reserve Chairman Ben Bernanke's semiannual testimony later Tuesday to lawmakers in the U.S. In a comment piece in The Wall Street Journal, Bernanke indicated the Fed had a plan for exiting its quantitative-easing measures, but would be in no rush to put that plan into place.
The euro was down at $1.4218 U.S., from $1.4299 U.S. in late New York trade, and at 133.87 yen, from 134.09 yen. The dollar was at 94.15 yen, down from 94.23 yen.
CHINA
Shanghai’s 300 Composite Index skidded 51.29 points, or 1.4%, to 3,539.83, as the market was pressured by liquidity fears as China State Construction Engineering took subscriptions for an initial public offering. The listing could raise as much as 50.16 billion yuan ($7.3 billion U.S.), which would make it the world's biggest primary-market issue this year.
Elsewhere:
Singapore’s Straits Times Index stepped back 1.82 points, or 0.1%, to 2,454.33
South Korea’s Kospi index advanced 10.48 points, or 0.7%, to 1,488.99
Taiwan’s Taiex kept its winning streak alive, gaining 14.48 points, or 0.2%, to 6,953.34
New Zealand’s NZX 50 Index picked up 52.28 points, or 1.9%, to 2,873.19
Australia’s S&P/ASX 200 tacked on 0.40 points, to 4,050.70
