The MSCI Asia Pacific Index climbed 0.6% to 131, after plunging the most since June 20 yesterday. The MSCI Asia-Pacific gauge plunged 4.6% in January for its worst start to a year since 2009, amid concern over China's economic slowdown, volatility in developing markets and Fed decision to further tapering in stimulus measures.
The bargain buying in the regional bourses were mainly encouraged by overnight gains on Wall Street. US stocks closed higher after some solid corporate results helped spark a partial recovery from the prior day's rout. Sterling results from Michael Kors Holdings and restaurant chain Yum Brands gave investors occasion to buy after stocks lost more than two% on Monday.
Market gains were, however, limited as investors cautiously awaiting for the U.S. jobs data due Friday and a policy meeting Thursday of the European Central Bank, which is under pressure to ease policy further to counter deflation.
Among Asian indices, Japan's stock market finished higher, rebounding from its biggest one day fall since June 2013, as investors chased for bottom fishing in heavily battered stocks. The benchmark Nikkei-225 index rebounded 171.91 points to finish the session at 14180.38, while the Topix index of all first-section shares advanced 23.37 points to 1162.64.
The rebound in the Tokyo shares was largely supported by robust earnings from some of Japan's blue chips. Meanwhile, recovery on Wall Street overnight and a halt in dollar slide versus the yen also provided a tailwind.
The Tokyo market stumbled 4.2% on Tuesday on the top of 2% drop on Monday, leaving the Nikkei-225 index down 14% for the year, and currently the worst performer in the world. The benchmark index soared 57% in 2013.
Also Read
Sony Corp shares rose 4.6% to 1600 yen on reports the company is in talks to sell its unprofitable Vaio personal-computer operations for roughly 40 billion-50 billion yen to a Japanese investment fund.
Panasonic Corp shares soared 19% to 1262 yen after it reported 20% rise in net profit to 73.7 billion yen for the third quarter ended in December, thanks to stellar growth in auto parts, solar panels and airplane entertainment systems.
Toyota Motor Corp shares jumped 6% to 5,830 yen after the auto maker reports its profit quintupled last quarter and raised its forecast for the fiscal year ending March 31 to an unprecedented 1.9 trillion yen
In Australia, Australian stocks extended losses for third consecutive session, dragging the benchmark S&P/ASX 200 index down 26.80 points to 5070.30. Almost all sectors finished in the red today, with the exception of consumer discretionary stocks.
Sydney shares commenced trading with firm footing today, as investors chased for bargain buying following steep recent losses. But the market failed to hold early momentum, on growing prospect of interest rate rises. Meanwhile selloff was also fuelled after disappointing economic data from US and China have raised fears of the state of the world's two largest economies.
Shares of Australian lenders were weak, with Australia & New Zealand Banking Group down 1% to A$29.02, National Australia Bank 0.8% to A$11.14, Commonwealth Bank 1% to $72.49 and Westpac Banking Corp 0.3% to A$30.31.
Virgin Australia Holdings shares dropped 6% to A$0.315, a two-year low, amid growing expectations the tightly-held company will report a significant half-year loss due to higher operating costs.
Echo Entertainment shares declined 6% to A$2.18 after the company reported a 30.5% fall in net profit due to higher-than-expected win rates from VIP customers and one-off expenses. The casino operator also announced the departure of chief executive John Redmond, who will return to the United States just a year after taking up the job. Chief financial officer Matt Bekier, who was originally a candidate for the role, will take the reins.
In Hong Kong, shares in city market closed weaker in volatile trade, with the benchmark Hang Seng Index provisionally finishing 128.39 points lower to 21269.38, extending falling streak for second day in row, as risk off selling continued on concern about the strength of the global economy after weaker-than-expected manufacturing growth from the U.S. to China.
Among the HK 50 blue chips, 34 stocks declined and 14 stocks fell, while remaining 2 closed steady. Sands China erased 7.3% to HK$66.25, while China Resources Enterprise gained 2.2% to HK$22.95, making themselves the biggest blue-chip loser and gainer. China Mobile (00941) gained 0.6% to HK$72.45. But HSBC (00005) edged down 0.6% to HK$78.65. AIA (01299) jumped 2% to HK$35.65.
Shares of Macau gaming players declined after Macau's gaming regulator reported worse-than-expected GGR growth in January. Galaxy Ent (00027) plunged 7% to HK$66.25. Sands China (01928) slid 7.5% to HK$54.65.
Haitong International Securities Group jumped 2.79% to HK$4.06 after the company said it expected its 2013 net profit to rise significantly mainly due to the growth of brokerage and retail-margin financing businesses.
Hong Kong's value of total retail sales in December 2013, provisionally estimated at HK$49.7 billion, rose 5.7% over a year earlier. After netting out the effect of price changes over the same period, the volume of total retail sales grew 6.1% in December 2013 compared with a year earlier, data from the Census and Statistics Department showed. The revised estimate of the value of total retail sales in November 2013 rose 8.5% over the same period a year earlier, while the volume of total retail sales expanded 9.1%. For 2013 as a whole, the value of total retail sales was HK$494.5 billion, up 11% in value and 10.6% in volume over 2012.
The Land Registry today said the number of sale and purchase agreements for all building units received for registration in January was 5,817, a decrease of 3.1% compared with December 2013 and down 29.9% year-on-year. The 12-month moving average for January was 5,668, 3.5% below the 12-month moving average for December 2013 and 43% below that for the same month last year.
In Indonesia, shares in the Indonesian market rose after better-than-expected GDP growth for the fourth quarter, led by large caps such as Telkom Indonesia and Bank Rakyat Indonesia, with foreign investors buying a net 144.2 billion rupiah ($11.8 million). Indonesia's Jakarta Composite index added 0.74% to 4384.31.
Indonesia's economic growth unexpectedly quickened last quarter after an export rebound, an acceleration that may be short-lived as higher interest rates weigh on domestic consumption and investment. Gross domestic product rose 5.72% in the three months ended Dec. 31 from a year earlier, the Central Bureau of Statistics said in Jakarta today. The economy grew 5.78% in 2013.
In India, key benchmark indices edged higher in choppy trade after a survey showed that India's service providers were optimistic in January that business activity would expand over the next year.
The S&P BSE Sensex was up 49.10 points or 0.24% to 20,261.03, its highest closing level since 31 January 2014.
Shares of state-run power equipment major Bharat Heavy Electricals (Bhel) dropped in choppy trade after the company reported poor Q3 December 2013 results.
Pricol surged 4.72% after net profit jumped 345.1% to Rs 11.93 crore on 6.1% growth in net sales to Rs 210.67 crore in Q3 December 2013 over Q3 December 2012. The Q3 result was announced after market hours on Tuesday, 4 February 2014.
Shares of state-run power equipment major Bharat Heavy Electricals (Bhel) dropped in choppy trade after the company reported poor Q3 December 2013 results. The stock shed 1.96% to Rs 160.20.
Voltas jumped 6.33% to Rs 115 after a foreign brokerage upgraded the stock to 'buy' from 'sell', citing improvement at unitary cooling and engineering agency divisions. The brokerage raised its target price on the Voltas stock to Rs 128 from Rs 84 earlier.
Power Finance Corporation rose 5.33% on good Q3 result. The company's net profit rose 37.35% to Rs 1534.31 crore on 24.2% increase in operating income to Rs 5547.16 crore in Q3 December 2013 over Q3 December 2012.
Tech Mahindra rose 3.81% on strong Q3 results. The company after market hours on Tuesday, 4 February 2014, said its consolidated profit after tax (PAT) jumped 40.6% to Rs 1010 crore on 2.7% increase in revenue to Rs 4899 crore in Q3 December 2013 over Q2 September 2013.
Ranbaxy Laboratories jumped as the company's net loss narrowed in Q4 December 2013. Most realty shares edged higher.
Elsewhere in the Asia Pacific region, New Zealand's NZX50 index added 0.11%. Malaysia's KLSE Composite rose 0.4%. Singapore's Straits Times index fell 0.19%. Taiwan's Taiex index shed 2.34%. Markets in mainland China was closed for holidays.
Powered by Capital Market - Live News