Most Asian Markets Rally as Nikkei Hits 10-Month High and India, Australia Reach Records

Most Asian Markets Rally as Nikkei Hits 10-Month High and India, Australia Reach Records

Most Asian markets rose Friday, with Japanese stocks climbing to their highest in nearly 10 months and markets in India, Singapore and Australia all rose to records. Malaysian shares finished at a new 10-year high.

Stocks rose in Tokyo amid optimism about growth prospects for the U.S. economy, a key export market. The benchmark Nikkei 225 index climbed 27.61 points, or 0.16 percent, to wrap up the week at 17,547.11 points — the highest close since April 7, 2006.

Both foreign and domestic investors were buyers of real estate developers and companies with large property holdings in urban areas on expectations for a continued increase in real estate investment and land prices in Japan.

Sumitomo Realty gained 4.4 percent to 4,510 yen ($37.40) and Tokyu Corp. rose 5.1 percent to 880 yen ($7.30).

Investors also targeted companies offering good dividend yields including utilities. Tokyo Electric was up 3.4 percent at 4,280 ($35.48) yen and Chubu Electric was ahead 5 percent at 4,190 yen ($34.74).

Renewed confidence that the American economy remains solid and that inflation is in check bolstered optimism among investors in Japan, which relies on healthy U.S. growth to fuel the country’s export-driven economy.

In Hong Kong, shares rose as traders bought property issues after banks kept interest rates unchanged. The blue-chip Hang Seng Index rose 133.52 points, or 0.7 percent, to 20,563.68.

The city’s major banks, such as HSBC and Bank of China, kept their best lending rate unchanged, after the U.S. Federal Reserve decided to keep its key interest rate unchanged at 5.25 percent Wednesday.

A peaking lending rate may lure more people to buy apartments, which should help boost Hong Kong’s property stocks, analysts said.

Fashion retailer Esprit also rose 3.2 percent to HK$81.00. The company is due to release its fiscal first-half results Thursday and analysts expect it to post earnings growth.

In currency trading in Tokyo, the U.S. dollar gained against both the euro and the yen. The euro declined to $1.3018, from $1.3025. The dollar bought 120.74 yen late Friday, up from 120.66 yen late Thursday in New York.


BANGKOK: Thai shares surged 2.1 percent to 670.60 points on news local banks are likely to cut prime lending rates this quarter and expectation for more interest rate cuts by the Thai central bank.

JAKARTA: Indonesia shares rose, helped by gains in markets across Asia and hopes that the Indonesian central bank will cut interest rates next week. The Jakarta Stock Exchange Composite Index edged up 0.5 percent to 1,780.38.

KUALA LUMPUR: Malaysian shares rose to a new 10-year high on firm buying interest in blue chips. The Kuala Lumpur Composite Index surged 1.7 percent to 1,209.48.

MANILA: Philippine shares rose for the fifth day in a row amid Wall Street’s rise and the government’s announcement a day earlier that it posted its narrowest budget deficit in eight years. The Philippine Stock Exchange Index moved up 23.92 points, or 0.7 percent, to 3,269.18.

MUMBAI: Indian shares set a new record high as traders lapped up telecommunication and cement companies on hopes of continued strong growth. The Bombay Stock Exchange’s 30-stock Sensitive Index, or Sensex, rose 136.59 points, or 1 percent, to 14,403.77.

SEOUL: South Korean shares were lifted by heavy buying of banking stocks. The Korea Composite Stock Price Index, or Kospi, advanced 30.24 points, or 2.2 percent, to 1,413.14, the highest level since Jan. 2, when it ended at 1,435.26.

SHANGHAI: Chinese stocks plunged as investors sold holdings in financial companies to free funds for subscriptions in an initial public offering by Ping An Insurance (Group) Co. The benchmark Shanghai Composite Index fell 4.03 percent to 2,673.21 and the Shenzhen Composite Index retreated 2.8 percent to 640.88.

SINGAPORE: Singapore’s shares rose to a second straight record high, led by banks and property stocks. The benchmark Straits Times Index surged 49.6 points, or 1.6 percent, to 3,217.68 points.

SYDNEY: Australian shares hit a record high, buoyed by a solid lead from Wall Street and a strong performance by the world’s biggest miner BHP Billiton. The benchmark S&P/ASX200 index rose 17.4 points, or 0.3 percent, to close at a record 5,831.5.

TAIPEI: Taiwan shares rose slightly as gains on Wall Street boosted technology issues. The Weighted Price Index of the Taiwan Stock Exchange shifted up 75.49 points, or 1 percent, to 7,777.03.

WELLINGTON: New Zealand stocks rose minimally as the generally positive tone of the market was offset by heavyweight Telecom Corp., which fell 1.4 percent on the resignation of its chief executive. The NZX-50 index climbed less than 1 point to 4,144.39.

Source: AP via

Share this post