Asia Pacific share market mostly advanced on Thursday, 16 April 2015, on
tracking strength from positive finish of Wall Street overnight.
Investors also drew some solaces from the ECB pledge to fully implement
its stimulus measures and Beijing stimulus hopes after weak Chinese
economic growth data.
The ECB left the policy rates unchanged and reaffirmed that the asset purchase program would continue through September 2016 and at least until "we see a sustained adjustment of the path of inflation consistent" with the 2% ECB medium-term target. ECB governor Mario Draghi said in the post meeting press conference that "there's clear evidence that the monetary policy measures we've put in place are effective." And, he expressed optimism for "the economic recovery to broaden and strengthen gradually." Against this backdrop, any speculation about earlier tapering is 'premature'. Draghi also confirmed that the deposit rate would not be cut further below the current -20 bps.
Among Asian bourses
Nikkei ekes out small gain
Japanese share market eked-out small gains after recouping intraday losses. The market registered first gain in three consecutive days, as bidding in commodity-related and real estate shares helped to offset general profit-taking in heavily-weighted exporter stocks. The benchmark Nikkei 225 index rose 16.01 points, or 0.08%, to finish at 19885.77, while the broader Topix index of all first-section shares added 10.61 points, or 0.67%, to 1599.42.
Shares of energy companies gained, helped by a sharp rise in crude oil prices overnight. Inpex added 5.4%, while JX Holdings also ended up 3.9%.
Shares of property developers gained after Nomura Real Estate's announcement that its just-ended full-year consolidated net profit will likely rise 43% on-year to Y38.4 billion--a hefty Y9.4 billion improvement over the company's prior view, and a record for the firm. Its shares surged 3.1% on the news, also dragging sector titans Mitsui Fudosan and Mitsubishi Estate up 0.9% and 1.1%, respectively.
Exporters were mostly lower, with tech and industrial players being major losers on tracking strength in Japanese yen against the greenback. The US dollar was about half a yen lower than at the previous Tokyo stock close, buying 119.01 yen, compared to 119.56 yen. Toshiba Corp declined 0.1%, TDK Corp down 0.6%, Sony Corp down 2.3%, and robot maker Fanuc Corp down 0.4%. But Panasonic Corp jumped 0.8% and Nintendo Co gained 3.7%. Toyota Motor Corp added 0.4% after reports the auto maker would spend about $1.4 billion to build new plants in Mexico and China. Casio Computer Co gained 4.3%, boosted by buzz surrounding its new scientific calculator that includes spread sheet functions. Minebea Co jumped 2% after ball-bearing maker said its fiscal 2014 operating profit surged by 86%.
Japan surpassed China in February as the largest foreign holder of U.S. Treasury's for the first time since 2008, according to Treasury International Capital data released on Wednesday. Japanese holdings of Treasury's fell by $14.2 billion to $1.224 trillion since January, while China's holdings declined by $15.4 billion to $1.223 trillion. On a year-over-year basis, Japan's holdings increased $13.6 billion, while China's declined $49.2 billion.
Miners, energy stocks lead Australia market rally
The Australian share market closed the session with gain, as risk sentiments underpinned by upbeat jobs numbers, with shares of mining and energy companies leading the rally after a jump in crude oil and base metal prices. The benchmark S&P/ASX 200 Index advanced 39.10 points, or 0.66%, to 5947.50, while the broader All Ordinaries Index added 40.30 points, or 0.69%, to 5917.60. Market turnover was healthy, with 1.81 billion shares changing hands worth of A$4.54 billion.
Shares of materials and energy companies advanced the most in Australian Stock Exchange, on the back of gain in commodity prices. Among miners, resource heavyweight BHP Billiton added 2.4% to A$20.23 and Rio Tinto jumped 0.1% to A$55.87. Fortescue Metals Group rose 5.4% to A$1.955 after Australia's third largest iron ore miner raising its shipping guidance and offering an upbeat view on Chinese steel demand. Gold producer Newcrest Mining closed 1.5% down at A$14.48. Among energy counter, Woodside Petroleum added 0.2% to A$35.48, Santos jumped 2.7% to A$7.93, and origin Energy rose 2.3% to A$12.68.
Financial stocks were also higher, with top four lenders being major gainers.
Commonwealth Bank added 0.6% to A$93.01, ANZ Banking Group 0.2% to A$36.02, Westpac Banking Corp 0.9% to A$39.27 and National Australia Bank 0.7% to A$39.31.
Nine Entertainment Co. Holdings advanced 3.7% to A$2.23 after the broadcaster agreeing to sell its ticketing business, Nine Live, for the equivalent of about half a billion U.S. dollars.
China market jumps to seven year high
Mainland China equity market finished the session at seven-year high, amid speculation the government will take more measures to bolster economic growth after a slew of weak economic data. Investors also drew some solace from data showing a 2.2% rise in foreign direct investment (FDI) in China, signifying continued foreign confidence in China's economy. Shanghai Composite Index advanced 110.66 points, or 2.71% to 4194.82 at the close. The CSI300 index, the largest listed companies in Shanghai and Shenzhen, added 133.04 points, or 3.04%, to 4513.55.
Investor's speculation about stimulus measures from the Beijing reinforced after data showed the economy expanded at the slowest quarterly pace in six years. Premier Li Keqiang also said earlier this week that the government would take more targeted measures to boost the economy.
Shares of consumer staples, industrial companies and energy producers raised the most in Beijing.Nuclear power equipment makers Shanghai Electric Group Co. and Sichuan Danfu Compressor Co. both surged 10% after the State Council approved the construction of a nuclear reactor in coastal areas. Train makers China CNR Corp. and CSR Corp. jumped 10%.
China attracted $12.4 billion of foreign direct investment in March, up 2.2% from a year earlier, the Ministry of Commerce said in a statement on Thursday. The figure was up from February's $8.56 billion, which was 0.9% higher than a year earlier. FDI in the January-March period rose 11.3% on year to $34.88 billion.
Hang Seng ups 0.44%
Hong Kong stock market ended modest higher, on tracking gain in mainland A-shares and other regional bourses, with energy shares leading the rally. The benchmark index opened 61 points lower but recovered all of it lost ground quickly. The Hang Seng Index ended up 120.89 points or 0.44% to 27,739.71, off an intra-day high of 27787.98 and day low of 27470.10. Turnover reduced to HK$198.59 billion from HK$216 billion on Wednesday.
Energy stocks climbed across the board after international crude prices rallied overnight Cnooc added 3.4% to HK$13.34, China Petroleum & Chemical Corp advanced 3% to HK$6.98, Kunlun Energy Co rose 2.4% to HK$9.70, and PetroChina Co added 4% to HK$10.50. China Oilfield Services jumped 5% to HK$0.23.
Shares of insurance companies advanced after BofAML raised its target prices for Chinese insurers. China Life (02628) put on 4% to HK$39.4. Ping An (02318) added 3% to HK$109.7.
Shares of water related players went up after China State Council announced measures to control water pollution. CTEG (01363) soared 13% to HK$10.84. Tianjin Capital (01065) jumped 9% to HK$9.35. China Water (00855) gained 7.8% to HK$4.44.
Shares of telecoms operators closed down after Chinese Premier Li Keqiang urged related government departments to work together and study plans to cut mobile-data charges for China's consumers. China Mobile slipped 0.9% to HK$105.50 and China Telecom Corp dropped 1.2% to HK$5.61.
The volume of Hong Kong's re-exports of goods for the first two months of 2015 rose 3.3% over the same period last year, whereas that of domestic exports dropped 0.5%. Taken together, the volume of total exports of goods rose 3.3%. Concurrently, the volume of imports of goods grew 3.8%, according to the Census and Statistics Department.
Sensex slides in volatile trade
Indian stock market declined for straight second day ahead of results of key corporates. Selling pressure was mainly witnessed in IT blue chips ahead of India's largest software services company TCS's fourth quarter results. As per provisional closing, the S&P BSE Sensex was down 166.51 points or 0.58% at 28,633.18. The CNX Nifty was down 55.15 points or 0.63% at 8,695.05.
Software services companies declined the most in Indian market, with TCS finished down 1.74 per cent at Rs 2,579, while Infosys was down 0.82 per cent at Rs 2,195 and Wipro slipped 0.82 per cent to Rs 601.60. The dollar's biggest quarterly rise against other major currencies since 2008 has undermined sales of India's IT services firms in non-US markets, including Europe, in what was already a seasonally slow period.
Foreign portfolio investors (FPIs) bought Indian shares worth a net Rs 108 crore yesterday, 15 April 2015, as per provisional data as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) sold shares worth a net Rs 60.18 crore yesterday, 15 April 2015, as per provisional data.
Elsewhere in the Asia Pacific region: South Korea KOSPI added 0.9% to 2139.90. Taiwan's Taiex rose 1.2% to 9656.87. New Zealand NZX50 was up 0.4% to 5881.76. Singapore's Straits Times index lost 0.24% at 3531.61. Malaysia's KLCI added 0.4% to 1847.94. Indonesia's Jakarta Composite index jumped 0.1% to 5420.73.
The ECB left the policy rates unchanged and reaffirmed that the asset purchase program would continue through September 2016 and at least until "we see a sustained adjustment of the path of inflation consistent" with the 2% ECB medium-term target. ECB governor Mario Draghi said in the post meeting press conference that "there's clear evidence that the monetary policy measures we've put in place are effective." And, he expressed optimism for "the economic recovery to broaden and strengthen gradually." Against this backdrop, any speculation about earlier tapering is 'premature'. Draghi also confirmed that the deposit rate would not be cut further below the current -20 bps.
Among Asian bourses
Nikkei ekes out small gain
Japanese share market eked-out small gains after recouping intraday losses. The market registered first gain in three consecutive days, as bidding in commodity-related and real estate shares helped to offset general profit-taking in heavily-weighted exporter stocks. The benchmark Nikkei 225 index rose 16.01 points, or 0.08%, to finish at 19885.77, while the broader Topix index of all first-section shares added 10.61 points, or 0.67%, to 1599.42.
Shares of energy companies gained, helped by a sharp rise in crude oil prices overnight. Inpex added 5.4%, while JX Holdings also ended up 3.9%.
Shares of property developers gained after Nomura Real Estate's announcement that its just-ended full-year consolidated net profit will likely rise 43% on-year to Y38.4 billion--a hefty Y9.4 billion improvement over the company's prior view, and a record for the firm. Its shares surged 3.1% on the news, also dragging sector titans Mitsui Fudosan and Mitsubishi Estate up 0.9% and 1.1%, respectively.
Exporters were mostly lower, with tech and industrial players being major losers on tracking strength in Japanese yen against the greenback. The US dollar was about half a yen lower than at the previous Tokyo stock close, buying 119.01 yen, compared to 119.56 yen. Toshiba Corp declined 0.1%, TDK Corp down 0.6%, Sony Corp down 2.3%, and robot maker Fanuc Corp down 0.4%. But Panasonic Corp jumped 0.8% and Nintendo Co gained 3.7%. Toyota Motor Corp added 0.4% after reports the auto maker would spend about $1.4 billion to build new plants in Mexico and China. Casio Computer Co gained 4.3%, boosted by buzz surrounding its new scientific calculator that includes spread sheet functions. Minebea Co jumped 2% after ball-bearing maker said its fiscal 2014 operating profit surged by 86%.
Japan surpassed China in February as the largest foreign holder of U.S. Treasury's for the first time since 2008, according to Treasury International Capital data released on Wednesday. Japanese holdings of Treasury's fell by $14.2 billion to $1.224 trillion since January, while China's holdings declined by $15.4 billion to $1.223 trillion. On a year-over-year basis, Japan's holdings increased $13.6 billion, while China's declined $49.2 billion.
Miners, energy stocks lead Australia market rally
The Australian share market closed the session with gain, as risk sentiments underpinned by upbeat jobs numbers, with shares of mining and energy companies leading the rally after a jump in crude oil and base metal prices. The benchmark S&P/ASX 200 Index advanced 39.10 points, or 0.66%, to 5947.50, while the broader All Ordinaries Index added 40.30 points, or 0.69%, to 5917.60. Market turnover was healthy, with 1.81 billion shares changing hands worth of A$4.54 billion.
Shares of materials and energy companies advanced the most in Australian Stock Exchange, on the back of gain in commodity prices. Among miners, resource heavyweight BHP Billiton added 2.4% to A$20.23 and Rio Tinto jumped 0.1% to A$55.87. Fortescue Metals Group rose 5.4% to A$1.955 after Australia's third largest iron ore miner raising its shipping guidance and offering an upbeat view on Chinese steel demand. Gold producer Newcrest Mining closed 1.5% down at A$14.48. Among energy counter, Woodside Petroleum added 0.2% to A$35.48, Santos jumped 2.7% to A$7.93, and origin Energy rose 2.3% to A$12.68.
Financial stocks were also higher, with top four lenders being major gainers.
Commonwealth Bank added 0.6% to A$93.01, ANZ Banking Group 0.2% to A$36.02, Westpac Banking Corp 0.9% to A$39.27 and National Australia Bank 0.7% to A$39.31.
Nine Entertainment Co. Holdings advanced 3.7% to A$2.23 after the broadcaster agreeing to sell its ticketing business, Nine Live, for the equivalent of about half a billion U.S. dollars.
China market jumps to seven year high
Mainland China equity market finished the session at seven-year high, amid speculation the government will take more measures to bolster economic growth after a slew of weak economic data. Investors also drew some solace from data showing a 2.2% rise in foreign direct investment (FDI) in China, signifying continued foreign confidence in China's economy. Shanghai Composite Index advanced 110.66 points, or 2.71% to 4194.82 at the close. The CSI300 index, the largest listed companies in Shanghai and Shenzhen, added 133.04 points, or 3.04%, to 4513.55.
Investor's speculation about stimulus measures from the Beijing reinforced after data showed the economy expanded at the slowest quarterly pace in six years. Premier Li Keqiang also said earlier this week that the government would take more targeted measures to boost the economy.
Shares of consumer staples, industrial companies and energy producers raised the most in Beijing.Nuclear power equipment makers Shanghai Electric Group Co. and Sichuan Danfu Compressor Co. both surged 10% after the State Council approved the construction of a nuclear reactor in coastal areas. Train makers China CNR Corp. and CSR Corp. jumped 10%.
China attracted $12.4 billion of foreign direct investment in March, up 2.2% from a year earlier, the Ministry of Commerce said in a statement on Thursday. The figure was up from February's $8.56 billion, which was 0.9% higher than a year earlier. FDI in the January-March period rose 11.3% on year to $34.88 billion.
Hang Seng ups 0.44%
Hong Kong stock market ended modest higher, on tracking gain in mainland A-shares and other regional bourses, with energy shares leading the rally. The benchmark index opened 61 points lower but recovered all of it lost ground quickly. The Hang Seng Index ended up 120.89 points or 0.44% to 27,739.71, off an intra-day high of 27787.98 and day low of 27470.10. Turnover reduced to HK$198.59 billion from HK$216 billion on Wednesday.
Energy stocks climbed across the board after international crude prices rallied overnight Cnooc added 3.4% to HK$13.34, China Petroleum & Chemical Corp advanced 3% to HK$6.98, Kunlun Energy Co rose 2.4% to HK$9.70, and PetroChina Co added 4% to HK$10.50. China Oilfield Services jumped 5% to HK$0.23.
Shares of insurance companies advanced after BofAML raised its target prices for Chinese insurers. China Life (02628) put on 4% to HK$39.4. Ping An (02318) added 3% to HK$109.7.
Shares of water related players went up after China State Council announced measures to control water pollution. CTEG (01363) soared 13% to HK$10.84. Tianjin Capital (01065) jumped 9% to HK$9.35. China Water (00855) gained 7.8% to HK$4.44.
Shares of telecoms operators closed down after Chinese Premier Li Keqiang urged related government departments to work together and study plans to cut mobile-data charges for China's consumers. China Mobile slipped 0.9% to HK$105.50 and China Telecom Corp dropped 1.2% to HK$5.61.
The volume of Hong Kong's re-exports of goods for the first two months of 2015 rose 3.3% over the same period last year, whereas that of domestic exports dropped 0.5%. Taken together, the volume of total exports of goods rose 3.3%. Concurrently, the volume of imports of goods grew 3.8%, according to the Census and Statistics Department.
Sensex slides in volatile trade
Indian stock market declined for straight second day ahead of results of key corporates. Selling pressure was mainly witnessed in IT blue chips ahead of India's largest software services company TCS's fourth quarter results. As per provisional closing, the S&P BSE Sensex was down 166.51 points or 0.58% at 28,633.18. The CNX Nifty was down 55.15 points or 0.63% at 8,695.05.
Software services companies declined the most in Indian market, with TCS finished down 1.74 per cent at Rs 2,579, while Infosys was down 0.82 per cent at Rs 2,195 and Wipro slipped 0.82 per cent to Rs 601.60. The dollar's biggest quarterly rise against other major currencies since 2008 has undermined sales of India's IT services firms in non-US markets, including Europe, in what was already a seasonally slow period.
Foreign portfolio investors (FPIs) bought Indian shares worth a net Rs 108 crore yesterday, 15 April 2015, as per provisional data as per provisional data released by the stock exchanges. Domestic institutional investors (DIIs) sold shares worth a net Rs 60.18 crore yesterday, 15 April 2015, as per provisional data.
Elsewhere in the Asia Pacific region: South Korea KOSPI added 0.9% to 2139.90. Taiwan's Taiex rose 1.2% to 9656.87. New Zealand NZX50 was up 0.4% to 5881.76. Singapore's Straits Times index lost 0.24% at 3531.61. Malaysia's KLCI added 0.4% to 1847.94. Indonesia's Jakarta Composite index jumped 0.1% to 5420.73.
