Asian markets higher as Japanese stocks jump

Asian shares were mostly higher Tuesday, with stocks in Japan clawing back some of the losses inflicted after a massive earthquake struck the country’s industrial northeast less than two weeks ago.



The benchmark Nikkei 225 in Tokyo jumped 3.6 percent, or 331.87 points, to 9,538.62, with sentiment buoyed by signs that authorities had stabilized a nuclear complex that was leaking radiation. On March 11, a powerful earthquake unleashed a tsunami that slammed into the complex, causing major malfunctions and radiation leaks.



Japan’s big three auto manufacturers — Toyota, Honda and Nissan — all posted gains amid expectations their operations would slowly ramp up this week after being halted by the quake. Toyota Motor Corp. rose 3.1 percent, Honda Motor Corp. was 1.6 percent up, and Nissan Motor Co. gained 1 percent.



The car makers had suffered steep losses after the quake because northeastern Japan is a major center for auto production and parts suppliers.

In this photo take March 18, 2011, specialist Christopher Trotta, third from right, works at his post on the floor of the New York Stock Exchange. (AP Photo)

Other companies that comprise Japan’s powerhouse export sector also recuperated Tuesday, the first day of trading this week after a public holiday Monday. Consumer electronics companies were sharply up, including Panasonic Corp., by 4.5 percent; and Sony Corp., by 3.1 percent. Elpida Memory Inc., the world’s No. 3 maker of computer-memory chips and a leading manufacturer of DRAMs, jumped 5.2 percent.



Companies expected to benefit when Japan’s reconstruction effort gets under way also got a boost — Japanese construction company Kajima Corp. leapt 6.3 percent and Nishimatsu Construction Co. Ltd. soared 12.4 percent.



Elsewhere, Hong Kong’s Hang Seng index was higher by 0.3 percent to 22,743.11. South Korea’s Kospi index rose 0.4 percent to 2,011.52, and Australia’s S&P/ASX 200 rose 0.2 percent to 4,650.60.



But shares in mainland China were mixed. The muted performance follows an announcement Friday that the People’s Bank of China would raise the bank reserve requirement ratio by half a percentage point on March 25. The hike, the third this year, is intended to cool lending and inflation.



In a research note, DBS Bank Ltd. in Singapore said the central bank’s action was “a stark reminder that China continues to tighten banks’ net liquidity to help arrest price pressures.”



In New York on Monday, stocks started the week with big gains Monday on a major telecommunications deal. The Dow Jones industrial average closed above 12,000 for the first time since the nuclear power plant failed.



The Dow 178.01 points, or 1.5 percent, to 12,036.53. The Standard & Poor’s 500 index gained 19.18, or 1.5 percent, to 1,298.38. The Nasdaq composite rose 48.42, or 1.8 percent, to 2,692.09.



Another market booster: AT&T Inc. said it would buy rival T-Mobile USA for $39 billion, creating the largest U.S. cell phone company. And Charles Schwab Corp. said it would buy online brokerage services provider OptionsXpress for $1 billion.



The deals raised hopes that more corporate buyouts could be on the way as businesses become more confident in the economic recovery.



Traders shook off concerns about oil prices, which ended higher on Monday as energy experts warned that Libya’s oil exports could be off the world market longer than expected and as countries including the U.S. enforced a no-fly zone over Libya.



Oil prices rose 27 cents to $102.60 early Tuesday in Asia. The April contract, which ends Tuesday, rose $1.26 to settle at $102.33 per barrel on Monday.-By Pamela Sampson

Tags: Vietnam business, vietnam enterprices

Posted by VBN on Mar 22 2011. Filed under Enterprises. You can follow any responses to this entry through the RSS 2.0. You can leave a response or trackback to this entry