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Asian stocks gain on US spending

Asian stocks rose the most in almost two weeks, led by exporters Samsung Electronics Co and Hon Hai Precision Industry Co (鴻海 精密) after Wal-Mart Stores Inc reported higher sales and US consumers spent more online.

"US spending is still looking firm," said Kim Seong-ki, who manages about US$1.9 billion in equities at SH Asset Management Co in Seoul. "Positive sentiment toward tech firms, such as semiconductor makers, should continue."

The Morgan Stanley Capital International (MSCI) Asia-Pacific excluding Japan Index rose on the first trading day of the year, gaining 1.3 percent to a record 402.33 at 5:23pm in Hong Kong. Japan was one of seven markets closed for holidays. Benchmarks in Australia, Hong Kong and Indonesia all set new highs.

China Mobile Ltd posted the biggest jump in two months on speculation it would sell shares in Shanghai for the first time, possibly at a premium to the company's Hong Kong-listed stock. BHP Billiton, the world's largest mining company, and Newcrest Mining Ltd advanced after gold prices rose.

The Philippines was the only regional market that closed lower yesterday, dragging the nation's key stock index from a nine-year high. The MSCI measure, which rose for a fourth straight year last year, gained the most since Dec. 20. Stock markets in China, Malaysia, New Zealand, Pakistan, Singapore and Thailand were all closed.

Samsung Electronics, South Korea's largest exporter, added 2 percent to 625,000 won. Hong Kong's Yue Yuen Industrial Holdings Ltd, which makes sports shoes for brands such as Nike Inc, climbed 1.8 percent to HK$25.15.

Sales at Wal-Mart stores open at least a year rose about 1.6 percent last month, the world's biggest retailer said on Saturday, ending the holiday shopping season with the biggest increase since August. Consumers in the US, Asia's No. 1 export market, spent US$23.1 billion on Internet purchases in the 56 days through Dec. 26, 26 percent more than a year earlier, ComScore Networks Inc said on Friday.

"The Wal-Mart announcement is viewed as a positive surprise for the markets," said Albert King, who oversees about US$10 million in assets as chief investment officer of Prophet Capital Inc in Taipei. "Technology exporters especially should have a better-than-normal quarter."

Taiwan's Hon Hai, the nation's biggest electronics company by sales, rose 2.2 percent to NT$237.50, helping lift the TAIEX to a six-year high.

China Mobile, the world's largest cellphone operator by users, surged 3.7 percent to HK$69.70, the biggest gain since Nov. 2. The company has appointed Goldman Sachs Group Inc's China venture to underwrite a share sale that is seeking to raise at least US$10 billion, the Ming Pao Daily reported, citing sources it didn't identify.

"There's still a lot of foreign money coming in to buy the China plays," said Wilfred Sit, who helps manage US$6 billion at Baring Asset Management (Asia) Ltd in Hong Kong. China listings "will definitely be a theme for this year.''

Melbourne-based BHP rose 0.9 percent to A$25.53. Newcrest, Australia's largest gold-mining company, added 1.7 percent to A$26.80.

The price of gold rose 0.2 percent in New York on Friday, taking last week's gain to 2.5 percent. The commodity gained the most in four years last year, surging 23 percent.

"Investors feel optimistic at the beginning of the year," said Shane Oliver, who helps manage about US$64 billion at AMP Ltd in Sydney. "The gold trend upwards can be sustained. Commodities will really pick up, with global growth, towards the second half."
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