Asian markets ended mostly higher Wednesday, with Japanese stocks charging ahead as solid corporate earnings from Canon put some extra gloss on the already better outlook for exporters.
Japan’s Nikkei 225 Index leaped 256.42 points, or 2.7%, to 9,753.27
Hong Kong’s Hang Seng Index kept its winning streak alive, growing 117.19 points, or 0.6%, to 21,091.18
Sydney shares were paced on hopes the Reserve Bank of Australia won't increase rates after consumer prices rose less than expected.
Canon soared 5.7% on the back of its quarterly results Tuesday.
Other Japanese electronics makers also jumped after Canon reported Tuesday that its April to June net profit surged four-fold from the year earlier due to brisk sales of digital cameras and printers. Sony Corp. rose 2.7% and Nikon Corp. gained 3.2%.
Yahoo Japan fell 3% despite 13% growth in net profit for the first quarter ended June 30, after the stock rose 6% in the past three sessions. Nomura Securities said that while the earnings were mostly in line with expectations, earnings visibility was a bit more uncertain after revenue for display ads was slightly below the brokerage's estimate.
Yahoo Japan also confirmed plans to team up with Google to use the U.S. giant's search engine technology. Yahoo Inc. said its own plans to roll out a global search alliance with Microsoft Corp. wouldn't be affected by affiliate Yahoo Japan's decision to tie up with Google.
Banks across the region advanced after their European and U.S. peers rose on better-than-expected second-quarter earnings from UBS and Deutsche Bank. The sector also continued to get a fillip from news Tuesday the latest update of the "Basel III" rules on their capital requirements won't be as tough as anticipated.
In Tokyo, Mizuho Financial Group added 2.9% and Mitsubishi UFJ Financial Group jumped 3.6%.
Shinhan Financial Group gained 1.4% in Seoul, National Australia Bank rose 1.5% in Sydney and HSBC Holdings climbed 2.6% in Hong Kong.
Australian shares recovered from a knee-jerk drop immediately after data showed the country's consumer inflation for the second quarter came in weaker than expected to end higher, on hopes the RBA might not increase interest rates at its meeting next week.
Resources heavyweight BHP Billiton added 1.1%, while Rio Tinto climbed 1.4%. But gold miners dropped after gold prices fell sharply in New York, with Newcrest Mining sliding 0.9% and Lihir Gold shedding 0.7%.
Engineering firm Downer EDI jumped 5.9% after winning a two-billion-Australian-dollar ($1.78 billion U.S.) contract from BHP Billiton Mitsubishi Alliance.
In foreign-exchange markets, the euro was at $1.3010, compared with $1.2997 U.S. late in New York, where it hit an 11-week high of $1.3047 U.S. overnight. The single currency was also buying 114.48 yen, compared with 114.49 yen, while the U.S. dollar was fetching 87.96 yen from 87.97 yen.
CHINA
Chinese stocks also jumped after the central bank said there was little risk of a "double-dip" recession.
Shanghai’s CSI 300 Index surged 68 points, or 2.4%, to 2,863.72
Chinese shares reversed early losses after the People's Bank of China said Tuesday there's little risk of a double-dip recession. Property developer China Vanke Co. rose 2.9% and Citic Securities added 3.3%.
Elsewhere;
Singapore’s Straits Times Index gained six points, or 0.2%, to 2,985.38
Korea’s Kospi index recovered 5.16 points, or 0.3%, to 1,773.47
Taiwan’s Taiex Index jumped 36.80 points, or 0.5%, to 7,784.81
New Zealand’s NZX index picked up 13.76 points, or 0.5%, to 3,022.18
Australia’s S&P/ASX 200 prospered 32.50 points, or 0.7%, to 4,529.90
