Asian stocks recovered from early falls to finish on a steady note Thursday as the dollar inched up against the yen and oil eked out small gains after falling as much as 3 percent overnight on data showing a larger-than-expected increase in U.S. gasoline stocks.
Chinese stocks ended lower due to year-end profit booking by investors. The benchmark Shanghai Composite index dropped 21.91 points or 0.67 percent to
3,272.05, while Hong Kong’s Hang Seng index was up 0.28 percent at 28,303 in late trade.
In a report released Wednesday, the International Monetary Fund said that more capital is justified for the largest banks in China because of their systemic importance and interconnectedness. Increasing capital would enhance the resilience and credibility of the financial system, as well as reassure markets, it said.
Japanese shares rallied on bargain hunting as Moody’s Investors Service retained the sovereign ratings of the country with ‘stable’ outlook and the yen weakened against the dollar, bolstered by reports that the U.S. Congress is on track to approve legislation that would avert a partial government shutdown over the weekend.
The Nikkei average finished up 320.99 points or 1.45 percent at 22,498.03 after suffering its biggest fall since March the previous day. The broader Topix index closed 1.18 percent higher at 1,786.25.
Advantest Corp jumped 1.8 percent after the chip company said it would strengthen its semiconductor parts business. Fanuc rose 1.3 percent while Tokyo Electron soared as much as 4.9 percent. Market heavyweight Fast Retailing advanced 2.4 percent.
Australian shares rose to snap a three-session losing streak, with banking and oil stocks leading the surge. The day’s economic releases proved to be a mixed bag, with Australia’s construction activity expanding at the fastest pace in four months in November, while October trade surplus came in well below forecasts.
The benchmark S&P/ASX 200 index gained 32 points or 0.54 percent to finish at 5,977.70…