Monday 31 October, 10:00 AM BST (Thomson Financial): Asian markets ended
higher following rises on Wall Street last Friday. Japan's market rose as
investors were cheered by stronger-than-expected U.S. growth data and
corporate earnings news, while Hong Kong's market rose on Wall Street gains.
Meanwhile, the Korean bourse rose on U.S. inspired bargain hunting following
last week's falls, while Taiwan's market rose strongly, tracking Wall Street's
rises. Finally, the market in Australia closed higher, in line with U.S.
markets.
Tokyo's Nikkei-225 Index jumped 259.96 points or 1.95% to 13606.5, while
Hong Kong's Hang Seng Stock Index gained 170.54 points or 1.20% to 14386.37.
Korea's Kospi Index rose 17.39 points or 1.52% to 1158.11, while Taiwan's
Weighted Index surged 131.33 points or 2.33% to 5764.30. Australia's All
Ordinaries Index leapt 72.20 points or 1.66% to 4412.7.
Japan's market posted a sharp rise as investors were buoyed by gains in
the U.S. last Friday and strong corporate earnings and forecasts, with
sentiment also helped by news of a cabinet reshuffle. Exporters performed well
on strong U.S. GDP data released Friday, with technology stocks and auto
makers rising strongly, while banks were also in focus.
Matsushita Electric Industrial had a sterling day after it announced its
first half net profit had risen by 14.6% on the year to 64.41 billion yen on
strong sales of digital home appliances, while Fanuc rose strongly after
reporting that its first half net profit had risen to 43.77 billion yen from
37.6 billion yen a year earlier.
In the automobiles sector, Toyota gained on a report that it may post a 5%
rise in operating profit, while Suzuki rose following a report that it is
expected to report higher-than-expected operating profit due to brisk overseas
and local sales. Meanwhile, banking stocks rose with Mizuho Financial surging
ahead, while Sumitomo Mitsui Financial Group and Resona Holdings both gained
ground.
Hong Kong's market closed higher on a technical rebound supported by gains
on Wall Street Friday, although gains were limited by fears over avian flu.
The property sector was higher, with Cheung Kong Holdings, Sun Hung Kai
Properties and Henderson Land all higher, while in the financial sector HSBC
Holdings rose, with Hang Seng Bank and Bank of East Asia both rising.
In Korea, the key share index rose strongly as investors sought out
bargains following heavy falls last week, with the market buoyed by the rise
in U.S. markets on Friday. In the technology sector, Samsung Electronics
gained weight, with Hynix Semiconductor also rising, while in the financial
sector Kookmin Bank made strong gains ahead of the release of its quarterly
results after market close, with Shinhan Financial and Woori also posting
solid gains.
Meanwhile, Taiwan's market closed sharply higher, tracking Wall Street's
rise on Friday and following a large sell-off the previous week. Technology
stocks led the market higher, with Chi Mei Optoelectronics making sterling
gains after reporting better-than-expected earnings for the third quarter,
while foreign investors reversed their recent sell off of UMC, which rose
strongly, with TSMC and AU Optronics also making excellent gains.
Finally, the market in Australia enjoyed strong gains as investor
sentiment picked up following the rises on Wall Street last Friday. Resources
majors BHP Billiton and Rio Tinto both rose, while in the mining sector Lihir
Gold closed higher after gold production at its Papua New Guinea rose 48% on
the previous quarter, with Newcrest Mining also rising strongly. Elsewhere,
financial stocks were up, with National Australia Bank and ANZ closing higher,
while Macquarie Bank gained and Babcock & Brown raced ahead.
Ian.Littlewood@thomson.com; Thomson Financial
This is Thomson Financial Corporate Services Asia Market Commentary. The
information herein is believed to be true and accurate. If you have any
questions please e-mail James Sang at James.Sang@tfn.com. We take no
responsibility for inaccurate information and reserve the right to update
our reports. For more information about Thomson Financial visit us
on-line at http://www.thomsonfinancial.com.
SOURCE Thomson Financial Corporate Group
back to top
