Thursday 24 November, 10:00 AM GMT (Thomson Financial): Asian markets
ended mostly higher, supported by rises on Wall Street overnight. Japan's
market closed higher on strength in technology stocks, while Hong Kong's
market gained on receding worries over the interest rate outlook. Meanwhile,
the Korean bourse rose, boosted by positive U.S. sentiment, while Taiwan's
market slipped amid investor caution ahead of local elections. Finally, the
market in Australia ended its recent losing streak to post a gain.
Tokyo's Nikkei-225 Index inched up by 34.26 points or 0.23% to 14,742.58,
while Hong Kong's Hang Seng Stock Index edged up by 22.04 points or 0.15% to
15,084.39. Korea's Kospi Index gained 9.69 points or 0.76% to 1291.71, while
Taiwan's Weighted Index eased by 11.63 points or 0.19% to 6111.89. Australia's
All Ordinaries Index rose by 32.50 points or 0.71% to 4594.90.
Japan's market continued its rally to end higher for the sixth straight
session, hitting a new five year high assisted by overnight gains on Wall
Street and strength in technology stocks. High technology shares produced
sterling gains, with chip makers and oil stocks also advancing, although this
was offset by weakness in banking shares.
In the high technology sector, Advantest was the star performer with an
exceptional rise, with Tokyo Seimetsu and Tokyo Electron also posting
admirable gains, while chip makers gained weight, with Fujitsu, NEC
Electronics and Mitsubishi Electric all posting a healthy rise.
Oil stocks rose following Nippon Oil's announcement that it will increase
its stake in Teikoku Oil, with both stocks rising sharply and triggering a
rise in Showa Shell Sekiyu and Nippon Mining. However, there was some weakness
in financial stocks, with Sumitomo Mitsui Financial falling heavily, and with
Mizuho Financial and Mitsubishi UFJ Financial ending lower.
Hong Kong's market closed marginally higher on continued strength in
property stocks owing to an easing of the interest rate outlook, though
investors were cautious ahead of the Thanksgiving holiday in the United
States. Henderson Land, Hang Lung Properties and Cheung Kong Holdings all
advanced, while the banking sector was mixed, with HSBC Holdings rising, Bank
of East Asia flat, and BOC Hong Kong falling.
In Korea, the key share index rose to a new record high on strength in
construction and financial stocks, with sentiment boosted by overnight gains
in U.S. markets. Construction companies gained on expectations of construction
contracts from the decision to move government offices out of Seoul, with
Hyundai Engineering & Construction and Daewoo Engineering & Construction both
surging. Banking stocks also supported the rise, with Shinhan, Kookmin Bank
and Woori Financial all rising, while in the automobiles sector, Kia Motors
rose after launching a new model, although Hyundai Motor reversed.
Meanwhile, Taiwan's market ended slightly lower as early strength stemming
from gains on Wall Street overnight waned, amid uncertainty ahead of the
December 3 local elections. Strength in chip makers was offset by weakness in
financial stocks and steel makers, with UMC and Advanced Semiconductor
Engineering gaining but TSMC remaining unchanged. Financial stocks ended lower
owing to a lack of new leads, with Mega Financial and Cathay Financial closing
lower, while in the steel sector, China Steel fell on fears of price cuts.
Finally, the market in Australia gained ground following a poor start to
the week on strength in resources heavyweights and banking stocks. Resources
majors BHP Billiton and Rio Tinto both rose, with Newcrest mining and Woodside
Petroleum following suit, while in the banking sector Commonwealth Bank,
National Australia Bank and ANZ all made steady gains. On a weaker note,
Telstra fell heavily on reports that the government had rejected demands that
the Australian Competition and Consumer Commission not cut the price that
rivals pay to access its network.
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
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