Asia report: Stocks rise as Aussie inflation comes in hot

Stocks rebounded in the Asia-Pacific region on Wednesday, with Hong Kong’s bourse back in the green, as inflation in Australia hit its hottest levels in more than three decades.

In Japan, the Nikkei 225 was up 0.67% at 27,431.84, as the yen strengthened 0.51% on the dollar to last trade at JPY 147.17.

Automation specialist Fanuc was up 0.84%, fashion firm Fast Retailing added 0.18%, and technology conglomerate SoftBank Group advanced 1.38%.

The broader Topix index was ahead 0.58% by the end of trading in Tokyo, settling at 1,918.21.

On the mainland, the Shanghai Composite was up 0.78% at 2,999.50, and the technology-heavy Shenzhen Component jumped 1.68% to 10,818.33.

South Korea’s Kospi gained 0.65% to 2,249.56, while the Hang Seng Index in Hong Kong was up 1% at 15,317.67.

Chinese tech plays were among the gainers in the special administrative region, with Meituan up 5.02%, SenseTime Group ahead 6.61%, and Tencent Holdings 2.52% firmer.

Standard Chartered added 2.66% after the emerging markets-focussed banking giant reported higher third quarter profits.

Its statutory profit before tax was ahead 40% year-on-year at $1.39bn, while its net interest income improved to $1.93bn.

Seoul’s blue-chip technology stocks were in the green, with Samsung Electronics up 2.95% and SK Hynix rising 0.43%.

The moves for SK Hynix came even after it posted a miss on third quarter earnings, with operating profit coming in at KRW 1.66trn (£1bn), behind forecasts for KRW 1.87trn.

Oil prices were on the front foot at the end of the Asian day, with Brent crude futures last up 0.14% on ICE at $93.65 per barrel, and West Texas Intermediate 0.34% firmer on NYMEX at $85.61.

In Australia, the S&P/ASX 200 was up 0.18% at 6,810.90, after the country’s consumer price index rose at its fastest clip in 32 years.

According to the Australian Bureau of Statistics, prices were up 7.3% year-on-year in the third quarter, ahead of the 7% analysts had pencilled in.

“The past four quarters have seen strong quarterly rises off the back of higher prices for new dwelling construction, automotive fuel and food,” the ABS said.

Across the Tasman Sea, New Zealand’s S&P/NZX 50 rose 1.32% to 11,046.50, underpinned by construction conglomerate Fletcher and rubber products giant Skellerup, which were ahead a respective 3.1% and 3.7% after their annual meetings.

Both of the down under dollars were stronger on the greenback, with the Aussie last ahead 1.26% at AUD 1.5442, and the Kiwi advancing 0.99% to NZD 1.7250.

Reporting by Josh White at Sharecast.com.