Technology and automobile stocks paced a broad rebound in Asian markets Tuesday, encouraged by strong overnight gains on Wall Street and expectations of improving global demand.
Japanese shares were aided by the yen's modest weakness against major currencies after Monday's rally. In Tokyo, the Nikkei 225 surged 90.68 points, or 0.9%, to 10,100.20.
In Hong Kong, the Hang Seng index rocketed up 424.76 points, or 2.1%, to 21,013.17, ending higher for the first time in five sessions and very nearly gaining back the points it lost in Monday’s session.
Automobile stocks rose amid expectations of improving demand, with Deutsche Bank analysts noting a strong improvement in production in North America and China in August.
Nissan Motor rose 3.3% and Honda Motor gained 1.1% in Tokyo, also aided by the yen's weakness.
Kia Motors gained 3.6% in Seoul, while Dongfeng Motor Group rose 3.1% in Hong Kong after Nomura International upgraded the stock to "buy" from "neutral" on stronger-than-expected pricing power and lower inventory levels.
Technology shares rose sharply after their U.S. peers outperformed on Wall Street overnight.
Samsung Electronics gained 2% in Seoul and Elpida Memory added 1.6% in Tokyo.
In Taiwan, flat-panel and chip makers led gainers after an Economic Daily News report quoted the economics minister as saying the government would gradually allow them to set up more advanced factories in China and acquire Chinese peers. AU Optronics was up 2.8%, Taiwan Semiconductor Manufacturing rose 4.9% and Chi Mei Optoelectronics gained 2.8%.
Ranking among gainers in Sydney, National Australia Bank added 2% and BHP Billiton climbed 2.4%.
In the foreign-exchange markets, the U.S. dollar was at 89.79 yen from 89.61 yen in late New York trade, after hitting an eight-month low at 88.23 yen Monday. The euro was flat against the Japanese unit at 130.91 yen, but slipped against the greenback to $1.4576 U.S. from $1.4606 U.S.
CHINA
Shanghai’s 300 Composite Index slid 0.36 points to 2,972.29, taking losses on concerns over liquidity due to a slew of new listings and on caution ahead of the National Day holidays starting Thursday. The markets reopen on Oct. 9.
Elsewhere:
South Korea’s Kospi index gained 14.50 points, or 0.9%, to 1,690.05.
Taiwan’s Taiex restored itself by 145.37 points, or 2%, to 7,429.98
Singapore’s Straits Times index regained 34.06 points, or 1.3%, to 2,663.31
New Zealand’s NZX 50 Index picked up 24.22 points, or 0.8%, to 3,155.39
Australia’s S&P/ASX 200 improved 75.70 points, or 1.6%, to 4,753.10, to end at an 11-month high.
