Headline shares of the Asia Pacific market closed mostly higher after
recouping early losses on Wednesday, 17 December 2014, as investors
chased for value buying, given the massive sell-off in recent sessions.
But gain on the upside was marginal as investors are looking to the U.S.
Federal Reserve's policy statement for cues on interest rates. The MSCI
Asia Pacific Index added 0.2 per cent, climbing from the lowest level
since October 17.
Most of regional equity gauges were trading higher on bargain buying, after falling oil prices, jitters in Russia and worries about tighter U.S. monetary policy battered emerging markets earlier in the week.
The U.S. Federal Reserve is expected to issue a statement at the end of their two-day meeting later in the global day, that could give clearer indication of when it will raise short-term interest rates in the U.S. next year, a move that might sap money flows from riskier markets in Asia and further boost the U.S. dollar.
Among Asian bourses
Nikkei ends 0.38% up
Japanese market closed modest higher 2014, as bargain buying emerged, given the massive sell-off in recent sessions turned valuation at attractive level, with energy and exporters players being major gainers. But rise on the upside was limited on caution ahead of a US Federal Reserve policy decision. The benchmark Nikkei Stock Average advanced 0.38% to end at 16819.73.
Shares of oil-explorers and commodity traders advanced, with Inpex Corp rising 2.8% to 1243.50 yen. Japan Drilling Co., an offshore drilling contractor, added 1.5% to 3954 yen. Mitsui & Co., which also gets 25% of its sales from energy trading, added 0.8% to 1494 yen.
Japan Tobacco fell 7.4% to 3107 yen, after brokerage houses reduced price outlook for the cigarette maker. Goldman Sachs Group Inc. cut its rating on the stock to neutral from buy on concerns the cigarette and food producer will see falling profits because of the weakness in Russia's rubble. The company gets about 16% of its sales from Russia.
On the macro front, Ministry of Finance data showed that Exports rose 4.9% in November from a year earlier, while imports decreased 1.7% on the back of lower oil prices, resulting in an Y891.9 billion deficit, down 31.5% from a year ago.
Exports to the United States rose 6.8% in the year to November, while shipments to China rose just 0.9%, slowing sharply from an annual 7.2% gain in October. Exports to Asia, which account for more than half of Japanese shipments, grew 5.8% in the year to November, slowing from a 10.5% jump in the previous month. EU-bound exports fell 1.3%, the first fall in 18 months.
Australia market snaps a six-day losing streak
Australian share market closed higher for the first time in seven consecutive sessions, as investors chased for bottom fishing on recently oversold stocks, with energy and mining players being major gainers. The benchmark S&P/ASX 200 index advanced 9.60 points, or 0.19%, to close at 5161.90, while the broader All Ordinaries index added 9.60 points, or 0.19%, to 5140.60. Market turnover was relatively healthy, with 1.46 billion shares changed hands worth of A$4.30 billion.
Shares of energy and mining companies advanced the most in Sydney market today, given the massive sell-off in recent weeks. Among energy stocks, Woodside Petroleum dropped 2.6% to A$34.46, as it announced A$4 billion in LNG and oil asset purchases. Santos shed 2.55% to A$7.27 and Oil Search lost 2.75% to A$7.06. Among mining stocks, BHP Billiton rose 0.8% to A$27.65, while Rio Tinto added 1.4% to A$53.38. Fortescue Metals was 1.1% weaker at A$2.365.
Shanghai Composite rises to 49-month high as financials rally
Mainland China stock market closed at highest level not seen since November 2010, as risk sentiments remained bullish on growing expectations of more monetary easing after gloomy manufacturing data. Shares of lenders and brokerage houses were stronger, helping to offset weakness elsewhere. The benchmark Shanghai Composite was higher by 39.50 points, or 1.31%, to finish at 3061.02, its highest close since November 11, 2010 when it closed at 3147.74.
Shares of brokerages extended gain on prospects the government won't rein in their margin-trading businesses. Citic Securities Co closed 10% daily upside limit at 32.75 yuan while Haitong Securities Co rose 8.4% to 24.33 yuan.
Bank shares also continued to surge on mainland markets. Industrial & Commercial Bank of China added 5.2% to 4.47 yuan and China Construction Bank Corp rose 5.3% to 5.94 yuan.
HK Stocks fall on weak offshore cues
Hong Kong share market finished weaker in volatile trade on Wednesday, 17 December 2014, as risk sentiments discouraged by slid of the major benchmarks from the US overnight and the emergence of Russian debt problems. The benchmark index opened 56 points firmer as the mainland A-share market stood above 3000 point and that oil prices stabilized. But it lacked further momentum and fell 141 points at one stage before recovering some of the losses by market close. The Hang Seng Index ended lower 84.66 points, or 0.37%, to 22585.84, off an intra-day high of 22726.56 and low of 22529.75. Turnover increased to HK$107.78 billion from HK$91.24 billion on Tuesday.
Macau gaming players plunged on talks of heightened crackdown on money laundering from the central government. Galaxy Ent (00027) dived 8.2% to HK$42. Sands China (01928) plunged 6.2% to HK$37.95. SJM (00880) slid 6.2% to HK$11.56. MGM China (02282) pounded 7% to HK$18.74.
Shares of Geely Automobile plunged 17% to HK$2.59 after the company issued profit warning. The automaker said it expects the amount of the consolidated net profit attributable to the equity holders for the year ending 31 December 2014 to decrease by about 50% as compared with the net profit of 2663.1 million yuan in 2013.
Shares of Hutchison Whampoa declined 1.1% to HK$86.05 after Goldman Sachs cut its target price for the Company to HK$123 from HK$128, but maintained its "buy" rating. It said the sharp oil price decline in recent weeks would mean lower attributable earnings from Husky Energy which accounts for 13% and 7% of Hutch's 2015 earnings/EV.
Sensex, Nifty, rupee recover
Volatility ruled the roosts as Indian benchmark alternately swung between positive and negative terrain in mid-afternoon trade. As per market buzz, state-run Life Insurance Corporation of India (LIC) has started buying shares after a recent steep slide in stock prices. LIC is known to support domestic share markets at times of hefty falls.
At 14:16 IST, the S&P BSE Sensex was down 10.39 points or 0.04% at 26,771.05. The CNX Nifty was down 19.70 points or 0.24% at 8,047.90.
FMCG stocks gained. Index heavyweight and cigarette maker ITC extended Tuesday's losses. Some capital goods stocks gained.
Foreign portfolio investors sold Indian shares worth a net Rs 1247.24 crore yesterday, 16 December 2014, as per provisional data.
Elsewhere in the Asia Pacific region: Taiwan's Taiex index declined 1.4% to 8828.36. South Korea KOSPI was down 0.2% to 1900.16. New Zealand's NZX50 rose 0.02% at 5497. Singapore's Straits Times index rose 0.5% at 3231.19. Indonesia's Jakarta Composite index added 0.2% to 5035.65. Malaysia's KLCI added 0.5% to 1681.90.
Most of regional equity gauges were trading higher on bargain buying, after falling oil prices, jitters in Russia and worries about tighter U.S. monetary policy battered emerging markets earlier in the week.
The U.S. Federal Reserve is expected to issue a statement at the end of their two-day meeting later in the global day, that could give clearer indication of when it will raise short-term interest rates in the U.S. next year, a move that might sap money flows from riskier markets in Asia and further boost the U.S. dollar.
Among Asian bourses
Nikkei ends 0.38% up
Japanese market closed modest higher 2014, as bargain buying emerged, given the massive sell-off in recent sessions turned valuation at attractive level, with energy and exporters players being major gainers. But rise on the upside was limited on caution ahead of a US Federal Reserve policy decision. The benchmark Nikkei Stock Average advanced 0.38% to end at 16819.73.
Shares of oil-explorers and commodity traders advanced, with Inpex Corp rising 2.8% to 1243.50 yen. Japan Drilling Co., an offshore drilling contractor, added 1.5% to 3954 yen. Mitsui & Co., which also gets 25% of its sales from energy trading, added 0.8% to 1494 yen.
Japan Tobacco fell 7.4% to 3107 yen, after brokerage houses reduced price outlook for the cigarette maker. Goldman Sachs Group Inc. cut its rating on the stock to neutral from buy on concerns the cigarette and food producer will see falling profits because of the weakness in Russia's rubble. The company gets about 16% of its sales from Russia.
On the macro front, Ministry of Finance data showed that Exports rose 4.9% in November from a year earlier, while imports decreased 1.7% on the back of lower oil prices, resulting in an Y891.9 billion deficit, down 31.5% from a year ago.
Exports to the United States rose 6.8% in the year to November, while shipments to China rose just 0.9%, slowing sharply from an annual 7.2% gain in October. Exports to Asia, which account for more than half of Japanese shipments, grew 5.8% in the year to November, slowing from a 10.5% jump in the previous month. EU-bound exports fell 1.3%, the first fall in 18 months.
Australia market snaps a six-day losing streak
Australian share market closed higher for the first time in seven consecutive sessions, as investors chased for bottom fishing on recently oversold stocks, with energy and mining players being major gainers. The benchmark S&P/ASX 200 index advanced 9.60 points, or 0.19%, to close at 5161.90, while the broader All Ordinaries index added 9.60 points, or 0.19%, to 5140.60. Market turnover was relatively healthy, with 1.46 billion shares changed hands worth of A$4.30 billion.
Shares of energy and mining companies advanced the most in Sydney market today, given the massive sell-off in recent weeks. Among energy stocks, Woodside Petroleum dropped 2.6% to A$34.46, as it announced A$4 billion in LNG and oil asset purchases. Santos shed 2.55% to A$7.27 and Oil Search lost 2.75% to A$7.06. Among mining stocks, BHP Billiton rose 0.8% to A$27.65, while Rio Tinto added 1.4% to A$53.38. Fortescue Metals was 1.1% weaker at A$2.365.
Shanghai Composite rises to 49-month high as financials rally
Mainland China stock market closed at highest level not seen since November 2010, as risk sentiments remained bullish on growing expectations of more monetary easing after gloomy manufacturing data. Shares of lenders and brokerage houses were stronger, helping to offset weakness elsewhere. The benchmark Shanghai Composite was higher by 39.50 points, or 1.31%, to finish at 3061.02, its highest close since November 11, 2010 when it closed at 3147.74.
Shares of brokerages extended gain on prospects the government won't rein in their margin-trading businesses. Citic Securities Co closed 10% daily upside limit at 32.75 yuan while Haitong Securities Co rose 8.4% to 24.33 yuan.
Bank shares also continued to surge on mainland markets. Industrial & Commercial Bank of China added 5.2% to 4.47 yuan and China Construction Bank Corp rose 5.3% to 5.94 yuan.
HK Stocks fall on weak offshore cues
Hong Kong share market finished weaker in volatile trade on Wednesday, 17 December 2014, as risk sentiments discouraged by slid of the major benchmarks from the US overnight and the emergence of Russian debt problems. The benchmark index opened 56 points firmer as the mainland A-share market stood above 3000 point and that oil prices stabilized. But it lacked further momentum and fell 141 points at one stage before recovering some of the losses by market close. The Hang Seng Index ended lower 84.66 points, or 0.37%, to 22585.84, off an intra-day high of 22726.56 and low of 22529.75. Turnover increased to HK$107.78 billion from HK$91.24 billion on Tuesday.
Macau gaming players plunged on talks of heightened crackdown on money laundering from the central government. Galaxy Ent (00027) dived 8.2% to HK$42. Sands China (01928) plunged 6.2% to HK$37.95. SJM (00880) slid 6.2% to HK$11.56. MGM China (02282) pounded 7% to HK$18.74.
Shares of Geely Automobile plunged 17% to HK$2.59 after the company issued profit warning. The automaker said it expects the amount of the consolidated net profit attributable to the equity holders for the year ending 31 December 2014 to decrease by about 50% as compared with the net profit of 2663.1 million yuan in 2013.
Shares of Hutchison Whampoa declined 1.1% to HK$86.05 after Goldman Sachs cut its target price for the Company to HK$123 from HK$128, but maintained its "buy" rating. It said the sharp oil price decline in recent weeks would mean lower attributable earnings from Husky Energy which accounts for 13% and 7% of Hutch's 2015 earnings/EV.
Sensex, Nifty, rupee recover
Volatility ruled the roosts as Indian benchmark alternately swung between positive and negative terrain in mid-afternoon trade. As per market buzz, state-run Life Insurance Corporation of India (LIC) has started buying shares after a recent steep slide in stock prices. LIC is known to support domestic share markets at times of hefty falls.
At 14:16 IST, the S&P BSE Sensex was down 10.39 points or 0.04% at 26,771.05. The CNX Nifty was down 19.70 points or 0.24% at 8,047.90.
FMCG stocks gained. Index heavyweight and cigarette maker ITC extended Tuesday's losses. Some capital goods stocks gained.
Foreign portfolio investors sold Indian shares worth a net Rs 1247.24 crore yesterday, 16 December 2014, as per provisional data.
Elsewhere in the Asia Pacific region: Taiwan's Taiex index declined 1.4% to 8828.36. South Korea KOSPI was down 0.2% to 1900.16. New Zealand's NZX50 rose 0.02% at 5497. Singapore's Straits Times index rose 0.5% at 3231.19. Indonesia's Jakarta Composite index added 0.2% to 5035.65. Malaysia's KLCI added 0.5% to 1681.90.
