However, gains on the upside was limited in the regional market, as overall sentiment remains weak amidst worries about the timing of the reduction, known as tapering, of the U.S. monetary stimulus. Investors focused heavily on U.S. monetary policy and how soon the Federal Reserve will begin tapering back its $85 billion a month support program, as the Fed's FOMC policy guidance released on 30 October 2013 was construed as slightly less dovish than expected.
The Federal Reserve's announcement this week that it would maintain its monthly bond purchases at $85 billion was widely expected. But the central bank no longer expressed concern, as it did in September, that higher mortgage rates could hold back hiring and economic growth. And its statement made no reference to the 16-day government shutdown, which economists say slowed growth this quarter. The U.S. central bank's cheap money policy is aimed at supporting economic recovery and has also underpinned stock markets worldwide for several years
Among Asia bourses, Australian share market finished weaker, with resources and precious metal producers led decliners. The benchmark S&P/ASX 200 index declined 14.40 points from prior day to end the session at 5411.10.
Shares of precious-metal miners were declined the most in the ASX players, in the wake of sharp pullback in bullion prices in the international market overnight. The Comex December futures gold price fell by US$25.60 or 1.9% to US$1,323.70 per ounce
Among gold miners, Newcrest Mining declined 3.5% to A$9.94, Kingsgate 2.1% to A$1.405 and Perseus Mining 4.6% to A$0.415.
Materials and resources shares were lower, despite a bigger than expected rise in Chinese manufacturing activity, with China's Purchasing Managers' Index rising by a third of a percentage point to 51.4 points in October. BHP Billiton fell 0.4% to A$37.53, Rio Tinto 0.7% to A$63.54, and Fortescue Metals Group 1% to A$5.16.
David Jones shares climbed up 6.6% to A$2.90 after Department store operator announcing 2.1% rise in quarterly sales to A$424.2 million.
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Macquarie shares advanced 4.2% to A$53.10 following its half-year earnings report. The investment bank recorded a 39% lift in profit to A$501 million. MQG has lifted its dividend payment to shareholders to A$1.00 (up 25c on last year). Investors will receive a Sydney Airport share for every Macquarie share they own. MQG expects profit to rise in the 2H14.
The Australian Industry Group's performance of manufacturing index expanded for a second month in a row, rising 1.5 points to 53.2 in October from the previous month, edging further above the 50-point level that signals expansion.
In Japan, Japanese share market closed down after reversing earlier gains, on the back of yen appreciation against major currencies and on concerns about corporate results of Japan's top electronics firms after electronic giant Sony slashed its full year profit outlook. Meanwhile, on anxiety over timing of the U.S. Federal Reserve tapering its massive stimulus also took toll in the market. The benchmark Nikei225 index lost 126.37 points to end the day at 14201.57.
Sony Corp declined 11.1% to 1668 yen after the electronic company announced a net loss of 15.8 billion yen in April-September and cut its forecast for the whole year to March by 40%, blaming dwindling sales of digital cameras, personal computers and televisions.
Tokyo Electric Power Co Inc advanced 2.3% to 535 yen after operator of Japan's crippled Fukushima nuclear plant logged a first-half net profit with its results boosted by a government bailout and electricity rate hike. TEPCO earned 616.1 billion yen in the six months to September, reversing a year-earlier loss. Sales climbed to 3.22 trillion yen, up from 2.88 trillion yen, owing to a government-approved electricity rate hike.
SoftBank Corp jumped 3.6% to 7560 yen after the telecom company reported a 44% leap in quarterly net profit rose to Y156.65 billion, helped by strong demand for Apple Inc. The company's operating profit rose 44% to Y324.05 billion on a 121% rise in revenue. The Company expects SoftBank to earn a group operating profit of at least Y1 trillion in the current fiscal year ending in March.
In China, Chinese share market finished modest higher, with the benchmark Shanghai Composite index rising 0.37% to 2149.56 on the back of bigger than expected rise in Chinese manufacturing activity in October.
The China Federation of Logistics and Purchasing said in a statement Friday that China's official manufacturing Purchasing Managers Index rose to 51.4 in October from 51.1 in September. A PMI reading above 50 indicates on-month expansion in manufacturing activity and a reading below 50 indicates contraction. The sub-index measuring manufacturing output climbed to 54.4 in October from 52.9 in September, while employment edged higher to 49.2 from 49.1. The new orders sub-index declined to 52.5 in October from 52.8 in September, and export orders were also down at 50.4 from 50.7. The index measuring bigger companies rose to 52.3 in October from 52.1 in September but the one measuring smaller firms fell to 48.5 from 48.8, remaining in negative territory.
Separately, preliminary reading of the competing HSBC China Manufacturing Purchasing Managers' Index came in at 50.9 for October, unchanged from the earlier flash reading, and up from 50.2 in September. Though only slight, it was the strongest improvement of operating conditions in China's manufacturing sector in seven months.
Metal manufacturers advanced the most in Shanghai. Inner Mongolia Baotou Steel Rare-earth (Group) Hi-tech Co increased 4.9% to 26.40 yuan. Rising Nonferrous Metals Share Co climbed 5.9% to 43.29 yuan. Xiamen Tungsten Co added 3% to 28.26 yuan.
In Hong Kong, HK share market finished higher after recouping early losses, thanks to better than expected Chinese factory data for October. The Hang Seng Index rose 0.2% to 23249.79, but the Hang Seng China Enterprises Index jumped 0.49% to 10678.69
Among the HK 50 blue chips, 28 stocks rose and 22 fell. Tingyi Cayman Islands Holding Corp was the top blue-chip winner, rising 6.4% to HK$23.3 after hitting an intra-day high of HK$24, on news that it plans to form a JV with Japanese infant formula maker Wakodo. CITIC Pacific the top blue-chip loser, fell 3.1% to HK$10.70.
Macau gaming players rose across the board on strong monthly revenue data. MGM China Holdings shares rose 1.12% to HK$27 after parent company MGM Resorts International posted a narrower loss for its third quarter, helped by 22% revenue climb at MGM China to $808 million. Galaxy Entertainment Group and Sands China rose 1.8% to HK$58.9 and HK$56.1. SJM (00880) jumped 3.6% to HK$25.95.
In India, Indian benchmark indices finished higher in choppy trade on the first trading session of November month as market sentiment was boosted by data showing that foreign funds made massive purchases of Indian stocks on Thursday, 31 October 2013. Data showing strong growth in infrastructure sector output in September 2013 also boosted investor sentiment. The S&P BSE Sensex was up 32.29 points or 0.15% to 21,196.81, which is a record closing high. The index jumped 129.36 points at the day's high of 21,293.88 in morning trade, which is a record high. Among the 30-share Sensex pack, 19 stocks rose and rest of them fell.
Bank of Baroda rose 4.37%, with the stock extending Thursday's post-result rally. The bank's net profit declined 10.24% to Rs 1168.10 crore on 9.38% increase in total income to Rs 10447.31 crore in Q2 September 2013 over Q2 September 2012. The bank announced the result during market hours on Thursday, 31 October 2013.
Bank of India rose 5.16%. Bank of India said after market hours on Thursday, 31 October 2013, that the board of directors of the bank at its meeting held on 31 October 2013 has approved the raising of Tier-1 capital by issue of fresh equity shares to the Government of India (Promoters) aggregating Rs 1000 crore (inclusive Premium amount), on preferential basis, subject to necessary approvals.
State Bank of India (SBI) rose 4.28%. The bank announced during trading hours on Thursday, 31 October 2013, that it has decided to revise its interest rates on bulk (Rs 1 crore and above) and retail term deposits (below Rs 1 crore) with effect from Friday, 1 November 2013. The bank has revised interest rate downwards on bulk deposits of all tenors. Interest rate on bulk term deposits for the period 1 year to less than 2 years has been reduced to 8.25% from 8.75%. The bank has decided to increase interest rate on retail term deposits of maturity period of 180 days to 210 days to 7% from 6.8%.
Reliance Communications (RCom) rose 3.58%. The company today, 1 November 2013, said it has announced revolutionary Apple iPhone offers that promise to change the way people buy the iconic Smartphone in India. The company has announced two game-changing offers -- just Rs 2,599 per month for the iPhone 5c and Rs 2,999 per month for the iPhone 5s, both for duration of 24 months which include the handset cost, unlimited local and STD calls, SMS, national roaming and 3G data. And in another first in India, ever, RCom is offering these much-awaited iPhone models at no down payment. Furthermore, under this unique offer, Apple iPhone 5c and iPhone 5s customers will not receive any usage bill for 24 months, as the monthly payments include all usage charges. Only international calls and international roaming charges will have to be paid for.
Elsewhere in the region, New Zealand's NZX 50 index rose 0.08%. Indonesia's Jakarta Composite index declined 1.73%. South Korea's KOSPI added 0.46%. Taiwan's Taiex index lost 0.73%. Malaysia's KLSE Composite rose 0.2%. Singapore's Straits Times index shed 0.29%.
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