Asian stocks rose, driving the MSCI Asia-Pacific Index higher for a third week, as better-than-estimated US jobs data and easing concern over Greece’s debt spurred confidence in a global economic recovery.
Nissan Motor Co, which gets 35 percent of its revenue in North America, climbed 9.1 percent in Tokyo. China Life Insurance Co (中國人壽) jumped 6.1 percent after saying profit probably climbed more than 200 percent. In Sydney, Telstra Corp, Australia’s largest telephone company, rose 5.2 percent on optimism it will avoid a breakup.
“Improving economic figures from the US bodes well for equities as it will help boost Asian exports,” said Michiya Tomita, a Hong Kong-based fund manager for Mitsubishi UFJ Asset Management Co, which holds US$65 billion in assets. “Concerns about Greece have also been waning as investors are hoping the situation will be resolved soon.”
The MSCI Asia-Pacific Index gained 2.4 percent this week. The gauge has lost 2.8 percent since reaching a 17-month high on Jan. 15 amid concern governments from China to India will start withdrawing economic-stimulus measures and that Greece will struggle to curb its budget deficit.
Hong Kong’s Hang Seng Index rose 2 percent in the week, while Australia’s S&P/ASX 200 Index increased 1.1 percent and South Korea’s KOSPI Index gained 1.7 percent. The Shanghai Composite Index lost 0.6 percent as a government report showing consumer prices rose the most in 16 months added to concern China will pare back stimulus measures that spurred growth.
Japan’s Nikkei 225 Stock Average increased 3.7 percent in the past five days amid speculation the nation’s economy is recovering. The government will raise its economic assessment for the first time in eight months in a report to be released next week, public broadcaster NHK reported on Friday.
The MSCI World Index plunged 43 percent in 2008, the most in its almost 40-year history, as losses and writedowns swelled to more than US$1.7 trillion following the collapse of the US subprime-mortgage market and Lehman’s bankruptcy, prompting investors to exit equities. Stocks have risen from their post-Lehman lows, boosted by efforts such as China’s 4 trillion yuan (US$586 billion) in spending to stimulate growth.
Taiwan’s TAIEX index was little changed at 7,748.33 at the close of Taipei trading. It gained 1.1 percent this week.
Motech Industries Inc (茂迪), the nation’s largest solar cell maker, rose 1.6 percent to NT$124, the second day of gains. Citigroup Inc said in a report Motech and Gintech Energy Corp (昱晶能源) were its top picks for Taiwanese solar cell makers.
Novatek Microelectronics Corp (聯詠), the nation’s largest maker of chips used in LCDs, advanced 1.9 percent to NT$100.
Other markets on Friday:
Singapore closed 0.26 percent, or 7.45 points, higher from Thursday at 2,881.36.
Jakarta lost 0.37 percent, or 10.01 points, from Thursday to 2,666.51. Profit-taking on recent rally offset news of Indonesia’s ratings upgrade by Standard & Poor’s.
“It’s good news, because it confirms the good fundamentals of our economy, but shares are already overbought,” a trader said.
Astra Agro gained 1 percent to 24,650 rupiah, but Telkom fell 2.3 percent to 8,400.
Kuala Lumpur lost 0.77 percent, or 10.23 points, from Thursday to close at 1,311.20.
Manila closed 1.68 percent, or 52.65 points, lower from Thursday at 3,072.91. Jomar Lacson of Campos, Lanuza and Co said dealers were “reacting to the central bank’s withdrawal of emergency liquidity-enhancing measures, which signals they’ll soon raise interest rates.”
Wellington was flat, edging 1.69 points higher from Thursday to 3,225.14.
Bangkok closed 1.02 percent, or 7.39 points, higher from Thursday at 733.34, despite demonstrations in the capital ahead of a mass anti-government rally this weekend.
Mumbai closed flat, edging down 1.34 points from Thursday to 17,166.62. The market ignored industrial output data showing a rise of 16.7 percent in January year on year, broadly in line with forecasts.
A signaling system malfunction disrupted high-speed rail (HSR) services beginning at 8am today, with trains temporarily reduced to three northbound and three southbound trains per hour as authorities conduct inspections. The malfunction occurred on a section of track in Miaoli County during pre-operation checks early this morning, forcing northbound and southbound trains to use a single track, the HSR operator said. The regular schedule has been replaced with three hourly trains offering only nonreserved seating in each direction, stopping at every station, it said, adding that business class cars would still have reserved seating. Departures from terminal stations are scheduled at the top
Taiwan is still in the process of assessing the possibility of recruiting workers from Eswatini, the Ministry of Foreign Affairs said yesterday, adding that its goal is to help Eswatini upgrade its vocational training centers. If there are plans to recruit workers from Eswatini, safeguarding national security, protecting public health and ensuring the employment rights of Taiwanese would be prerequisites, Department of West Asian and African Affairs Director-General Yen Chia-liang (顏嘉良) told a news conference. Key considerations would also include filling labor shortages in specific industries, and fostering bilateral professional and technical exchanges, he said. Yen was asked about the progress of labor
A US uncrewed surface vessel (USV) encountered multiple Chinese warships during an autonomous transit of the Taiwan Strait, US defense company Seasats said in a statement on Wednesday. Seasats announced that a Lightfish USV had completed the first autonomous transit of the Taiwan Strait. Over five days, the USV traversed the entire length of the Strait while constantly monitoring surface vessel traffic, the company said. The Lightfish encountered multiple Chinese warships, one of which was a Chinese People’s Liberation Army Navy (PLAN) Type 056 corvette, it said. The Chinese vessels were operating “well within Taiwan’s exclusive economic zone without transmitting their identity via the
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