Asian stocks rose, with the regional benchmark index extending its longest weekly winning streak on record, after better-than-expected global economic data overcame concern the US and China may not introduce further stimulus.
Canon Inc, a camera maker that gets 27 percent of its sales in the Americas, rose 3.2 percent in Tokyo. China Overseas Land and Investment Ltd (中國海外發展有限公司) led mainland developers in Hong Kong trading lower after home prices declined. Hynix Semiconductor Inc advanced 5.6 percent in Seoul after the bankruptcy filing of rival Elpida Memory Inc, which tumbled 98 percent.
The MSCI Asia Pacific Index climbed 0.2 percent to 128.22, capping an 11-week advance, the longest such streak since its inception in 1988. The measure entered a bull market on Wednesday, gaining more than 20 percent from a low on Oct. 5 last year, after US economic optimism and monetary easing in Europe, Japan and China fueled the fastest rally in more than two years.
“The bull-market signs are broadening amid resilience in the US economy,” said Nader Naeimi, a Sydney-based senior strategist at AMP Capital Investors Ltd. “Investor sentiment has gone from extreme pessimism to one of optimism. Europe didn’t turn out as bad as the market was fearing because of the actions taken by the European Central Bank.”
The MSCI Asia Pacific Index gained 12.6 percent this year through Friday, compared with an 8.9 percent advance by the S&P 500 and a 9.3 percent increase by the STOXX Europe 600 Index.
The markets were open for trading in Taiwan yesterday to make up for a holiday early in the week. The TAIEX closed down 29.6 points, or 0.4 percent, from Friday at 8,114.44. For the week ending yesterday, Taiwan’s benchmark index was up 1.9 percent.
Japan’s Nikkei 225 Stock Average added 1.3 percent this week, as the yen touched a nine-month low against the US dollar. A measure of the nation’s smaller stocks on Tuesday ended its record streak of gains after advancing for 30 days. The nation’s industrial production rose more than expected in January.
South Korea’s KOSPI rose 0.7 percent after the country’s factory output increased in January. Australia’s S&P/ASX 200 Index fell 0.8 percent. Hong Kong’s Hang Seng Index gained 0.7 percent. The Shanghai Composite Index, which tracks the larger of China’s stock exchanges, advanced 0.9 percent this week.
Stocks climbed after reports showed the US economy expanded more than forecast, business activity accelerated and consumer confidence rose. Initial filings for jobless benefits fell to a four-year low.
Shares in Hong Kong and Shanghai slipped after China’s manufacturing improved for a third month last month, damping expectations for relaxing policy.
“As the US economy continues to recover and with China’s manufacturing still expanding, there’s less likelihood of further monetary easing,” said Castor Pang (彭偉新), head of research at Core-Pacific Yamaichi International Ltd.
The chip industry was shaken this week after Elpida, Japan’s only maker of computer memory, filed for Japan’s biggest bankruptcy in two years. Hynix Semiconductor increased 5.6 percent to 30,450 won in Seoul. Powertech Technology Inc (力成科技) dropped 19 percent to NT$58.7 in Taipei. The circuit tester has NT$4.5 billion (US$153 million) in accounts receivable with Elpida, which plunged 98 percent to ¥5.
In other markets on Friday:
Manila surged 1.57 percent, or 77.69 points, from Thursday to 5,016.30. The index closed at a new record high above the psychological 5,000-point level.
Wellington rose 1.35 percent, or 44.95 points, from Thursday to 3,375.81.
Mumbai shares rose 52.3 points, or 0.30 percent, from Thursday to 17,636.8.
Among the rows of vibrators, rubber torsos and leather harnesses at a Chinese sex toys exhibition in Shanghai this weekend, the beginnings of an artificial intelligence (AI)-driven shift in the industry quietly pulsed. China manufactures about 70 percent of the world’s sex toys, most of it the “hardware” on display at the fair — whether that be technicolor tentacled dildos or hyper-realistic personalized silicone dolls. Yet smart toys have been rising in popularity for some time. Many major European and US brands already offer tech-enhanced products that can enable long-distance love, monitor well-being and even bring people one step closer to
Malaysia’s leader yesterday announced plans to build a massive semiconductor design park, aiming to boost the Southeast Asian nation’s role in the global chip industry. A prominent player in the semiconductor industry for decades, Malaysia accounts for an estimated 13 percent of global back-end manufacturing, according to German tech giant Bosch. Now it wants to go beyond production and emerge as a chip design powerhouse too, Malaysian Prime Minister Anwar Ibrahim said. “I am pleased to announce the largest IC (integrated circuit) Design Park in Southeast Asia, that will house world-class anchor tenants and collaborate with global companies such as Arm [Holdings PLC],”
Sales in the retail, and food and beverage sectors last month continued to rise, increasing 0.7 percent and 13.6 percent respectively from a year earlier, setting record highs for the month of March, the Ministry of Economic Affairs said yesterday. Sales in the wholesale sector also grew last month by 4.6 annually, mainly due to the business opportunities for emerging applications related to artificial intelligence (AI) and high-performance computing technologies, the ministry said in a report. The ministry forecast that retail, and food and beverage sales this month would retain their growth momentum as the former would benefit from Tomb Sweeping Day
Thousands of parents in Singapore are furious after a Cordlife Group Ltd (康盛人生集團), a major operator of cord blood banks in Asia, irreparably damaged their children’s samples through improper handling, with some now pursuing legal action. The ongoing case, one of the worst to hit the largely untested industry, has renewed concerns over companies marketing themselves to anxious parents with mostly unproven assurances. This has implications across the region, given Cordlife’s operations in Hong Kong, Macau, Indonesia, the Philippines and India. The parents paid for years to have their infants’ cord blood stored, with the understanding that the stem cells they contained