Asian markets climbed Wednesday as Intel's strongest-ever quarterly results buoyed technology sector shares, while a robust emerging economic picture in Singapore also aided sentiment.
Japan’s Nikkei 225 average rocketed up 258.01 points, or 2.7%, to 9,795.24
Hong Kong’s Hang Seng Index zoomed ahead 129.75 points, or 0.6%, to 20,560.81
Technology shares around the region climbed after Intel, which is seen as a bellwether for the global technology industry and a barometer of corporate demand, posted the best quarter in its 42-year history for the April to June period, after the U.S. market had closed Tuesday.
The company also gave a bullish forecast for the July-September quarter. Its shares rose 8% in after-hours trading.
Tokyo-listed chip play Advantest added 5.7%, South Korea's Samsung Electronics rose 3.5% and Taiwan Semiconductor Manufacturing Co. gained 1.3%. Personal computer stocks also got a boost on expectations Intel's strong results are a harbinger of stronger corporate technology spending, with Taiwan's Acer up 6.1% and Hong Kong-listed Lenovo Group tacking on 3.2%.
Singapore's Straits Times Index advanced after data showed the city-state's gross domestic product soared 26% on an annualized, seasonally adjusted basis in the second quarter over the preceding three months, trouncing estimates. The government also raised its full-year growth forecast to 13% to 15% from its May estimate of 7% to 9%.
Pacing the advance in Singapore, DBS Group Holdings added 1.7% and CapitaLand added 1.9%.
In Tokyo, Mizuho Financial Group advanced 3% to 139 yen ($1.56 U.S.) on short-covering after the bank priced a planned public offering, due later this month, at 130 yen per share. Mizuho could raise up to 751.6 billion yen, or about $8.5 billion U.S., from the offering. Investors had expected a lower offering price.
Auto stocks advanced as the euro firmed against the Japanese currency, rising above the 113-yen level during the session on relief over a well-received Greek debt auction. Honda Motor Co. rose 3.9% and Toyota Motor Corp. surged 4%.
Komatsu shares climbed 5.4% after the construction and mining equipment maker late Tuesday lifted its earnings outlook for the current fiscal year, citing stronger-than-expected demand in Asia and Latin America.
Australian shares were pulled higher by materials and financial stocks, with the gains underpinned by a combination of data showing improved consumer confidence and bullish sentiment from strong offshore equities.
Among commodity stocks, BHP Billiton added 2.1% and Rio Tinto gained 1.3%, while among financials, Macquarie Group rose 2.3% and National Australia Bank tacked on 1.6%.
Copper-gold miner Indophil Resources bucked the market and dropped 42.5% as it resumed trading following a halt since early June, following the failure of an attempted 545 million Australian dollar ($482 million U.S.) buyout by Chinese diversified miner Zijin Mining Group. The takeover talks fell apart last month after delays in Zijin receiving government approvals in China.
In Seoul, Posco fell 2.3%, although its second-quarter net profit nearly tripled from the year-earlier period and the company revised upward its 2010 financial targets. But investors were worried that the company's earnings may have peaked in the second quarter and could slow toward the end of the year.
LG Chem gained 1.1% in strong volume on news the company has been named as the battery supplier for the electric version of Ford's Focus compact car, due out next year.
In foreign exchange markets, the euro rose against the yen on a generally bullish sentiment in regional stock markets as strong U.S. earnings reports encouraged demand for riskier assets.
Elsewhere;
Shanghai’s CSI 300 Index climbed 19.02 points, or 0.7%, to 2,653.61
Singapore’s Straits Times Index gained 24.11 points, or 0.8%, to 2,952.81
Korea’s Kospi index moved higher by 22.93 points, or 1.3%, to 1,758.01
Taiwan’s Taiex Index grew 117.09 points, or 1.5%, to 7,714.51
New Zealand’s NZX index advanced 18.54 points, or 0.6%, to 3,027.44
Australia’s S&P/ASX 200 picked up 82.10 points, or 1.9%, to 4,462.40
