Asian stocks swung between gains and losses, heading for a weekly drop, on speculation European policy makers will struggle to reach a resolution on how to fight the region’s debt crisis.
Fanuc Corp, a Japanese manufacturer of industrial robots that gets 75 percent of its sales abroad, rose 2.4 percent after an index of manufacturing in Philadelphia unexpectedly increased.
Hynix Semiconductor Inc, the world’s second-largest maker of computer memory chips, rose 10 percent in Seoul after a research company said Apple Inc used the company’s NAND-flash chips in the iPhone for the first time.
Mitsui & Co led losses in Japanese traders as commodity prices headed for the first weekly loss in three weeks.
The MSCI Asia Pacific Index rose 0.2 percent to 115.40 at 7:34pm in Tokyo on Friday after falling as much as 0.3 percent. About half of the stocks on the benchmark gauge rose ahead of a European debt summit this weekend. The measure has dropped 1.3 percent this week.
“It looks like European leaders are making progress, but there’s still a long way to go,” said Stephen Halmarick, Sydney-based head of investment markets research at Colonial First State Global Asset Management, which oversees about US$150 billion. “The market remains very vulnerable.”
Fanuc gained 2.4 percent to ￥12,170. Mitsubishi Electric Corp, which makes 25 percent of revenue from factory automation equipment, rose ￥2.7 percent to 712.
The TAIEX added 10.19 points on Friday, or 0.14 percent, to 7,254.51, paring its weekly decline to 1.4 percent.
Japan’s Nikkei 225 Stock Average closed little changed after rising as much as 0.2 percent. Australia’s S&P/ASX 200 lost 0.1 percent.
Hong Kong’s Hang Seng Index added 0.2 percent, erasing losses of as much as 0.3 percent.
South Korea’s KOSPI climbed 1.8 percent on speculation that the nation’s earnings will withstand a slowdown in the global economy.
Samsung Electronics Co, the world’s second- biggest handset maker, rose 1.1 percent to 917,000 won on a Wall Street Journal report that its smartphone shipments beat Apple Inc’s in the last quarter.
Hynix Semiconductor rose 10 percent to 23,200 won in Seoul after research company IHS iSuppli said Apple used the company’s NAND-flash chips in the iPhone for the first time.
LG Display Co, the world’s second-largest maker of liquid-crystal displays, jumped 7.8 percent to 24,250 won after analysts from LIG Investment & Securities Co and Hyundai Securities Co said losses will narrow in the current quarter.
The MSCI Asia Pacific Index declined 16 percent this year through Friday amid concern that Europe’s debt crisis will damage the banking system and US growth is sputtering. That compares with slides of 3.4 percent by the S&P 500 and 16 percent by the STOXX Europe 600 Index. Stocks in the Asian benchmark are valued at 11.7 times estimated earnings on average, compared with 12.2 times for the S&P 500 and 10 times for the STOXX 600.
Japanese trading companies fell after the Thomson Reuters/Jefferies CRB Index of raw materials fell 1 percent on Friday, set for a 3 percent weekly loss. Mitsui & Co dropped 3.3 percent to ￥1,057, while Mitsubishi Corp slid 2.5 percent to ￥1,478, while Itochu Corp lost 1.8 percent to ￥731.
In other markets on Friday:
Indian shares fell 0.89 percent, or 151.25 points from Thursday, to 16,785.84.
India’s top property firm DLF fell 2.66 percent to 225.05 rupees, while leading vehicle maker Tata Motors dropped 2.81 percent to 177.95.
Manila ended 0.10 percent, or 3.97 points, off from Thursday at 4,166.60
Megaworld gained 3.2 percent to 1.92 pesos, Ayala Land was off 0.1 percent at 15.88 pesos and Energy Development shed 1.4 percent to 5.65 pesos.
Wellington closed 0.26 percent, or 8.61 points, lower from Thursday at 3,281.16.
POOR INTERNAL CONTROLS: Insurance Bureau Director-General Shih Chiung-hwa said the company is expected to get back on track while its chairman is suspended The Financial Supervisory Commission (FSC) yesterday fined Shin Kong Life Insurance Co (新光人壽) NT$27.6 million (US$939,415) for a reckless investment that endangered its solvency, and suspended its chairman Eugene Wu (吳東進) for poor supervision. The penalty is the second-highest in a single case after Nan Shan Life Insurance Co (南山人壽) was fined NT$30 million in September last year and its chairman Du Ying-tzyong (杜英宗) suspended for two years, the commission said. In three rounds of special and regular examinations conducted since last year, the commission found that Shin Kong Life had given too much power to an asset and liability management committee
Continental AG, which makes control units for Daimler AG cars, cannot pursue antitrust claims against a group of patent owners, including Qualcomm Inc, which are seeking royalties on telecommunications technology, a federal judge in Texas ruled. Avanci LLC, a licensing pool formed by Qualcomm, Nokia Oyj, Sharp Corp and other owners of patents on technology standards, is not breaching antitrust laws when it negotiates license agreements with automakers rather than the component makers, Barbara Lynn, chief district judge for the Northern District of Texas, said in dismissing the suit in a decision posted on Friday. The licensing group charges US$15 per vehicle
Sony Corp has cut its estimated Play Station 5 (PS5) production for this fiscal year by 4 million units, down to about 11 million, following production issues with its custom-designed system-on-chip (SOC) for the new console, people familiar with the matter said. The Tokyo-based electronics giant in July boosted orders with suppliers in anticipation of heightened demand for gaming in the holiday season and beyond, as people spend more time at home due to the COVID-19 pandemic. However, the company has come up against manufacturing issues, such as production yields as low as 50 percent for its SOC, which have cut into
HEAVY INVESTMENT: Moody’s affirmed the firm’s ‘Aa3’ rating with a ‘stable’ outlook due to its leading position in the industry and ability to match customer requirements Taiwan Semiconductor Manufacturing Co’s (TSMC, 台積電) revenue this year is expected to increase about 21 percent to NT$1.29 trillion (US$44.01 billion) from NT$1.07 trillion last year, driven by strong demand for advanced 5-nanometer and 7-nanometer chips mainly used in smartphones and high-performance computing devices, a Moody’s Investors Service report on Wednesday said. TSMC’s rate of revenue growth next year is to increase to 7.5 percent, the ratings agency said. The company, which supplies 5-nanometer chips for Apple Inc’s new iPad series, has introduced the advanced chips ahead of its competitors and gained a significant share of the market for the foundry industry’s