Asian stocks move higher after week of losses

Saturday, June 20, 2009

Hong Kong: Asian stocks moved higher Friday as bargain hunters closed in following a week of sell-offs, while some upbeat data out of the United States also gave markets a fillip. Hong Kong added 0.81 percent and Sydney 0.19 percent, breaking a four-day losing streak for both markets, while Tokyo was 0.85 percent higher. A lack of direction throughout the week, and concerns that the recent rally may have made many shares overpriced helped push regional indexes lower, which in turn led many dealers to move in on Friday. Sentiment was also boosted by a US index of leading indicators that forecasts conditions in the coming months, which surged for the second consecutive month. The Federal Reserve Bank of Philadelphia's index on mid-Atlantic manufacturing activity rose for the fourth month running, in an unexpectedly sharp gain to the highest level since September. The news also sent the Dow Jones up 0.69 percent. TOKYO: Up 0.85 percent. The Nikkei-225 rose 82.54 points to 9,786.26. HONG KONG: Up 0.81 percent. The Hang Seng Index closed up 144.27 points at 17,920.93. The benchmark index was down 5.1 percent this week, but still up 58 percent from the 2009 low of 11,344 hit on March 9. SYDNEY: Up 0.19 percent. The S&P/ASX 200 closed up 7.5 points at 3,899.6. The market rose for the first time in a week that was hit by falls in the resources sector and losses in other markets. SHANGHAI: Up 0.93 percent. The Shanghai Composite Index, which covers A and B shares, was up 26.59 points at 2,880.49. Investors shrugged off share supply worries after Beijing gave the go-ahead for its first IPO in nine months, dealers said. The key index gained five percent this week, breaking 11-month highs, and the upward trend was expected to continue as Beijing is not expected to launch large IPOs until it has tested the market with the smaller offerings. TAIPEI: Up 1.41 percent. The weighted index rose 86.62 points to 6,231.15. SEOUL: Up 0.55 percent. The KOSPI ended up 7.58 points at 1,383.34. Many investors remained on the sidelines due to a lack of strong upward momentum, dealers said. SINGAPORE: Up 1.61 percent. The Straits Times Index jumped 35.98 points to 2,273.18. Bargain hunters helped the market put an end to six days of losses. KUALA LUMPUR: Up 0.48 percent. The Kuala Lumpur Composite Index gained 5.09 points to 1,059.50. BANGKOK: Up 3.25 percent. The Stock Exchange of Thailand (SET) composite index rose 18.55 points to close at 588.98. The rise ended four days of losses. JAKARTA: Up 2.02 percent. The Jakarta Composite Index gained 39.48 points to 1,990.47. MANILA: Down 1.48 percent. The composite index fell 35.96 points to 2,398.30. "The market has been very overbought the last couple of weeks so this correction was expected by investors but it was a bit fast," said Gomer Tan of Regina Capital Development Corp. WELLINGTON: Down 0.50 percent. The NZX-50 fell 13.97 points to close at 2,784.27. MUMBAI: Up 1.80 percent. The 30-share Sensex rose 256.36 points to 14,521.89. (AFP)