Asia report: Most markets higher, Aussie deputy PM disqualified
Most markets in Asia finished in the green on Friday, after a number of tech firms globally beat expectations amid a flurry of earnings.
AUD/USD
$0.6564
05:16 29/04/24
GBP/NZD
NZD2.1015
05:15 29/04/24
Hang Seng
17,987.77
10:20 26/04/24
Nikkei 225
37,934.76
09:44 26/04/24
USD/JPY
¥159.3750
05:16 29/04/24
In Japan, the Nikkei 225 was up 1.24% at 22,008.45 - a fresh 10-year high - as they yen weakened 0.13% against the dollar to last trade at JPY 114.13.
Financial and technology plays were the leaders on the Tokyo bourse, with Canon rising 1.77% and Mitsubishi UFJ up 2.75%, while Sharp surged 3.6% ahead of the release of its third quarter numbers.
Carmaker Subaru was down 2.6% after reports it had not complied with inspection rules, having allowed uncertified inspectors to perform the work at one of its factories.
On the economic front, Japan’s core consumer prices were up 0.7% in September year-on-year, while consumer prices excluding energy costs fresh food were up 0.2%.
On the mainland, the Shanghai Composite was up 0.26% at 3,416.42, and the smaller, technology-heavy Shenzhen Composite finished down 0.34% to 2,023.50.
South Korea’s Kospi was up 0.64% at 2,496.63, while the Hang Seng Index in Hong Kong was ahead 0.84% at 28,348.85.
Manufacturing was the sector of the day in Seoul, with Hyundai Steel up 4.94%, Samsung Engineering rising 4.6% and Samsung Heavy 5.41% firmer.
Eyes were turned to Europe early in the session, after the European Central Bank confirmed it would shrink its asset purchase programme to EUR 30bn per month from January, from the current EUR 60bn.
“This puts the ECB in the camp of a 'dovish taper' and contributed to a classic case of buy the rumor and sell the fact for the euro,” read an OCBC note on Friday morning, as the euro extended its losses through the Asian session.
Oil prices were relatively steady during Asian trade, though they began to retreat as Europe took the trading baton, with Brent crude last down 0.15% at $59.21 per barrel and West Texas Intermediate off 0.08% at $52.60.
In Australia, the S&P/ASX 200 went against the regional trend and fell 0.22% at 5,903.16, despite good gains in the energy sector.
Beach Energy surged 4.23% by end-of-play in Sydney, with Oil Search up 0.82% and Origin Energy 1.95% higher.
Food producer Murray Goulburn confirmed it was being bought out by Canadian milk company Saputo in a deal worth up to AUD 637.8m.
The confirmation came after Bega Cheese told media on Thursday it was no longer playing suitor to Murray Goulburn.
It was a politically heavy day in the sunburnt country as well, as deputy Prime Minister was disqualified from Parliament after a court ruled he was ineligible, due to his status as a dual citizen of New Zealand.
The disqualification was of concern to markets, as it resulted in the loss of the coalition government’s majority.
Across the Tasman Sea, New Zealand’s S&P/NZX 50 was down 0.02% at 8,084.99, led lower for the third day running by construction conglomerate Fletcher Building, which was 2.4% softer.
The company had taken a NZD 125m provision against what it called “problematic” public construction projects - the International Convention Centre in Auckland and the Justice Precinct in Christchurch.
Fletcher had already issued two profit warnings in the current year.
The down under dollars were mixed, with the Kiwi holding steady at NZD 1.4612 against the greenback, while the Aussie weakened 0.25% to AUD 1.3083.