RTTNews - The markets across Asia, except South Korea, ended in the positive territory on Thursday taking cues from Wall Street where the US Federal Reserve, while retaining the interest rates unchanged at 0%-0.25%, stated that the world's largest economy is leveling out. Banks, exporters, and resource stocks advanced on increasing optimism about recovery later in the year.
In Japan, the benchmark Nikkei 225 Index ended the session at 10,517, up 82.19 points, or 0.79%, while the broader Topix index of all first section stocks gained 8.54 points, or 0.89% and closed at 968.
Automakers and exporters advanced after the local currency weakened against the greenback. Toyota Motor Corp. gained 1.49%, Honda Motor rose 1.32%, Suzuki Motor advanced 1.77% and Nissan Motor increaesed 1.83%.
Denso Corp., a maker of car parts, surged up 3.43% after Mitsubishi UFJ Financial lifted the stock to strong outperform from market perform.
Trading companies also ended in positive territory. Toyota Tsusho Corp. gained 1.82%, Sumitomo Corp. advanced 1.34% and Mitsubishi Corp. added 0.42%.
Kawasaki Heavy Industries, manufacturer of high-speed trains, gained 6.91% after Nikkei newspaper reported that Vietnam is planning to utilize the high-speed technology being used by the company.
Banking stocks ended in positive territory. Mitsubishi UFJ Financial added 0.50%, Mizuho Financial advanced 0.43% and Sumitomo Mitsui Financial advanced 0.98%. However, Resona Holdings bucked the trend and edged down 0.08%.
Toray Industries surged up 5.97% following news that the company, in association with Hoshi University, developed an insulin spray for treatment of diabetes.
In Australia, the benchmark S&P/ASX200 Index rose 92.80 points, or 2.14%, to close at 4,436, and the All-Ordinaries Index ended at 4,437, representing a gain of 90.80 points, or 2.09%.
On economic front, the Australian Bureau of Statistics revealed that weekly wages increased in the second quarter of 2009 by a seasonally adjusted 1.2% over the preceding quarter. The reported further noted that weekly wages, which represent the amount paid to adult full-time ordinary time workers, rose a seasonally adjusted 6.1% for the year.
Separately, the Melbourne Institute in a report revealed that consumer inflationary expectations rose to 3.5% in August from 3.2% in July.
Banks ended in positive territory on increasing optimism that the recovery is round the corner. ANZ Bank gained 3.06%, Commonwealth Bank of Australia surged up 4.88%, National Australia Bank rose 4.06% and Westpac Banking advanced 3.94%.
James Hardie Industries, the leading seller of home sidings in the U.S., soared 9.90% after Toll Brothers, the luxury home builder in the U.S., reported better-than-expected sales.
Oil stocks gained following rebound in crude oil prices in the international market. Woodside Petroleum advanced 2.41%, Santos rose 3.34%, Oil Search gained 2.97% and Origin Energy advanced 2.25%.
Metals and mining stocks also ended in positive territory. BHP Billiton, which reported quarterly results yesterday, added 0.71%, Rio Tinto advanced 1.38%, Gindalbie Metals gained 3.45% and Oz Minerals rose 3.17%.
Shares of Arrow Energy, which supplies coal gas seam, surged up 9.18% after the company said that it has held talks with concerned parties related to takeover of the company.
Gold stocks bucked the trend and ended in negative territory following drop in bullion prices. Lihir Gold shed 0.76%, Newcrest Mining slipped 0.14% and Sino Gold fell 0.69%.
In Hong Kong, the Hang Seng Index gained more than 2% or 426.06 points and closed at 20,861, following strong closing in Wall Street and comments from the US Federal Reserve that the US economy is leveling out. Positive trading across other markets in the region also lifted market sentiment as traders picked up stocks at lower levels.
Of the 42 components in the index, only three stocks ended in the negative territory while the rest ended in the positive territory lifted by buoyancy about recovery later in the year.
In South Korea, the benchmark KOSPI Index ended flat with a marginal loss of 0.71 points, or 0.05% at 1,565. Late- session sell-off by institutional investors pared all the early gains in automotive, banking and technology stocks that surged in early trading taking cues from Wall Street.
Robust manufacturing growth, aggressive tax reform proposals unveiled as part of a new direct tax code by finance minister Pranab Mukherjee and comments from the U.S. Federal Reserve that the world's largest economy is leveling out, lifted the Indian market sharply higher on Thursday. The BSE Sensex finished at 15,518, up nearly 500 points or 3.32% and the S&P CNX Nifty rose 147 points or 3.31% to 4,605.
Among the other major markets in the region, China's Shanghai Composite Index gained 27.84 points, or 0.89% to close at 3,141, Singapore's Strait Times Index advanced 42.87 points, or 1.67% to close at 2,614, Indonesia's Jakarta Composite Index rose 49.13 points, or 2.09% to close at 2,396, and Taiwan's Weighted Index surged up 136.06 points, or 1.97%, to close at 7,035.
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