Asian stocks rise but Japanese data tempers gains
BEIJING — Most Asian stocks markets rose Friday but gains were tempered after Japanese machinery orders were weaker than expected, fueling concern about company spending despite improving global demand.
Tokyo, Shanghai, Hong Kong and Seoul rose after improved U.S. jobs and retail sales data overnight. But enthusiasm became more measured after Japan on Friday reported August core machinery orders, a key indicator of company spending, rose just 0.5 percent, short of the consensus forecast of 2.3 percent.
“Japanese machinery orders data were quite disappointing,” said Dariusz Kowalczyk, chief investment strategist for SJS Markets in Hong Kong.
“Markets were hoping for a stronger rebound,” Kowalczyk said. “There are concerns about the strength of global demand for capital goods. This is weighing on sentiment.”
Tokyo’s benchmark Nikkei 225 index added 132.07 points, or 1.3 percent, to 9,964.54 as metal stocks rose and gamemaker Nintendo surged on an analyst upgrade. Hong Kong’s Hang Seng was up 26.31, or 0.1 percent, at 21,522.20.
South Korea’s Kospi index was up 1.7 percent at 1,642.56 after its central bank left its key interest rate unchanged at a record low, saying it would stick to an “accommodative stance” for now. Korea is believed to be close to following Australia in raising rates, but the central bank said inflation does not appear to be a problem.
“Korea is outperforming the region,” Kowalczyk said.
In China, the benchmark Shanghai Composite Index jumped 3.8 percent to 2,886.20 as markets reopened following a weeklong holiday.
Elswhere, Singapore’s Straits Times Index and Australia’s All Ordinaries lost were both 0.1 percent higher.
On Wall Street Thursday, the Dow rose 61.29, or 0.6 percent, to 9,786.87.
The Standard & Poor’s 500 index rose 7.90, or 0.8 percent, to 1,065.48, while the Nasdaq composite index rose 13.60, or 0.6 percent, to 2,123.93.
A closely watched gauge of sales at major U.S. retailers showed an increase of 0.1 percent for September, compared with a 1.0 percent drop a year ago. It was the first monthly gain in the International Council of Shopping Centers-Goldman Sachs tally since July 2008.
The Labor Department reported new claims for jobless benefits fell to 521,000 last week, down from 554,000 the previous week and better than analysts had expected. It was the lowest level since early January. Continuing claims fell to 6.04 million, better than the slight increase analysts had expected.
Oil prices fell to near $71 a barrel in Asia, giving up part of the previous day’s big gains, as the U.S. dollar rebounded. The November contract was 53 cents at $71.16; it rose $2.12 to $71.69 on Thursday.
In currency markets, the dollar rose to 89.20 yen from 88.37 yen. The euro fell to $1.4731 from $1.4791.
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