Asian stocks followed US shares higher as mixed economic data fueled bets the US Federal Reserve would not rush to raise interest rates. China’s Shenzhen Composite Index posted its biggest weekly gain since November 2008.
The MSCI Asia Pacific Index added 0.7 percent to 153.96 as of 4:07pm in Hong Kong on Friday, heading for a 0.4 percent weekly advance. The Standard & Poor’s 500 Index climbed to a record on Thursday after unemployment claims dropped, while home purchases unexpectedly fell. The Bank of Japan today kept its asset- purchase plan unchanged, as predicted by economists, while improving its outlook on the economy.
“We’re seeing very mixed data come out of the US,” Shane Oliver, the Sydney-based head of investment strategy at AMP Capital Investors Ltd, told Bloomberg TV. “I expect a relatively dovish message from [US Fed Chair] Janet Yellen. The impression may be that the first rate hike gets pushed out even further.”
Japan’s TOPIX added 0.1 percent, pushing the market value of the shares to a record ¥591.3 trillion (US$4.9 trillion). The gauge advanced 2.5 percent on the week, the most since February. The Nikkei 225 Stock Average closed 0.3 percent higher on Friday.
The Bank of Japan maintained monetary base expansion at an annual pace of ¥80 trillion.
In Taipei, the TAIEX closed 0.6 percent higher at 9,638.80 on Friday, led by Apple-concept shares. The index was up 0.6 percent from the previous week.
Yuanta Securities Investment Consulting (元大投顧) analyst Shawn Hsueh (薛舜日) said the market originally expected Apple to launch its iPhone 6S in September or October, but recent reports suggest the US firm could move up the launch date to August.
Apple supplier Largan Precision Co (大立光), which makes smartphone camera lenses, set an all-time intraday high for any stock traded on the local exchange at NT$3,500, before closing 4.69 percent higher at NT$3,460.
The plastics sector was the biggest gainer on Friday, rising 1.68 percent, while the paper, food, construction and transportation sectors all lost ground.
The Shanghai Composite rose 2.8 percent, advancing 8 percent this week in the biggest such gain since December. The Shenzhen Composite Index jumped 12 percent on the week amid speculation the government would boost technology spending. The gauge rallied 158 percent in the past 12 months, compared with the Shanghai Composite Index’s 130 percent surge.
Hong Kong’s Hang Seng Index climbed 1.7 percent and the Hang Seng China Enterprises Index of mainland firms advanced 2.1 percent. Routs of Hanergy Thin Film Power Group (漢能薄膜發電集團), Goldin Property Holdings (高銀地產) and Goldin Financial Holdings (高銀金融) wiped out US$35 billion in market value two days this week, prompting calls from investors for more oversight.
Australia’s S&P/ASX 200 Index closed little changed, while New Zealand’s NZX 50 Index rose 0.1 percent.
Elsewhere in Asia, South Korea advanced 1.1 percent, Mumbai rose 0.5 percent, Singapore rose 0.3 percent and Jakarta ended up 0.04 percent. Meanwhile, Malaysia fell 0.4 percent, Bangkok closed down 0.2 percent and Manila ended 0.57 percent lower.
Additional reporting by CNA and AFP
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