Asian Stocks Rise; Fujitsu, Samsung Electronics Gain on Nasdaq
By Tomoko Yamazaki
Tokyo, Dec. 11 (Bloomberg) -- Asian stocks rose, led by Fujitsu Ltd. and Samsung Electronics Co., on hopes the U.S. Nasdaq Composite Index's first weekly advance since Nov. 3 signals global computer-related shares have fallen far enough to reflect slowing profit growth.
The Nikkei 225 stock average gained 339.93, or 2.3 percent as 15,036.44. Toyota Motor Corp. and other exporters rose after U.S. Supreme Court justices ordered a halt to the Florida manual ballot recounts, raising expectations the U.S. will name its 43rd president as soon as today. Korea's Kospi index gained 3.2 percent while Singapore's Straits Times Index rose 1.5 percent.
``Gains in the Nasdaq will give relief to investors that it's bottoming out now,'' said Hiroyoshi Nakagawa, who manages 2.5 trillion yen ($23 billion) of assets at SG Yamaichi Asset Management Co.
In other markets, Hong Kong's Hang Seng Index rose 0.3 percent, led by banks and developers including HSBC Holdings Plc after a U.S. government report on Friday boosted optimism the Federal Reserve will cut interest rates next year. Australia's S&P/ASX 200 index gained 0.8 percent as resource companies such as Rio Tinto Ltd. and BHP Ltd. gained on optimism their earnings won't suffer much if the local economy slows.
Fujitsu, Japan's largest computer maker, rose 6.3 percent to 1941 yen, after investors pushed shares of Intel Corp. higher. The world's largest chipmaker led the gain in the Nasdaq, which rallied 10 percent last week, its first advance in five weeks.
U.S. stocks also got a push after government figures showed that growth is slowing in the world's biggest economy. The Nasdaq 100 Futures index added 3.4 percent to its daily limit of 2902.50, suggesting investors expect the technology benchmark to open higher later today.
NEC Corp., Japan's biggest chipmaker, rose 6.1 percent to 2425 yen. The broader Topix index rose 1.8 percent to 1389.72.
Leading exporters higher, Toyota, Japan's biggest automaker, rose 2.9 percent to 3880 yen. Sony, which exports DVD machines and compact disc players, rose 3.3 percent to 8820 yen.
Korea
Korea's Kospi gained 17.26 to 552.07. Samsung Electronics, the world's largest computer memory chipmaker, gained 4.5 percent to 176,000 won. Hyundai Electronics Industries Co. rose 1.7 percent to 6760 yen.
Among other advancers, SK Telecom Co. gained 7.6 percent to 285,000 won, completing a five-day 18 percent gain on optimism it may win a licenses on Friday to operate new mobile services with high-speed Internet access. Korea Telecom Corp., which is also expected to win a license, rose 4.5 percent to 72,700 won.
``Investors seem to agree that Korea Telecom and SK Telecom are the strongest candidates for winning the licenses,'' said Seo Jung Ho, who helps manage 1.2 trillion won ($1 billion) in assets at Daehan Investment Trust Co. in Seoul. ``This has considerably brightened the companies' outlooks.''
Singapore
Singapore's Straits Times Index rose 30.27 to 1990.43, led electronics makers. Venture Manufacturing Ltd., the city-state's largest electronics manufacturer by market value, rose 1.9 percent to S$16.
Chartered Semiconductor Manufacturing. Ltd., the world's No. 3 maker of chips to companies' design, rose 2.7 percent to S$5.75 after the Business Times reported it was named one of Fortune Magazine's 10 hot global stocks.
Among other advancers, Singapore Telecommunications Ltd. gained 3.8 percent to S$2.77 after last week shedding 3.9 percent last week in anticipation of changes in Morgan Stanley Capital International Ltd.'s indexes.
MSCI yesterday said it will base the weighting of companies in its indexes on the shares available for trading, or the ``free float,'' rather than their total value. Only about a fifth of SingTel, Southeast Asia's biggest telecommunications company, is freely traded. The remainder is owned by the government.
Hong Kong
Hong Kong's Hang Seng Index rose 49.40 to 15,238.73. Some telecommunications and computer-related stocks such as China Mobile (Hong Kong) Ltd. rose after the Nasdaq rallied 6 percent.
China Mobile, China's No. 1 publicly traded mobile telephone company, rose 1.1 percent to HK$47.10. Hutchison Whampoa Ltd., which has global telecommunications businesses, rose 1 percent to HK$99.
Adding to gains, HSBC, the U.K.-based parent of the city's two largest lenders, rose 1.3 percent to HK$116. Hang Seng Bank Ltd., Hong Kong's second-largest bank, rose 2.4 percent to HK$98. Sun Hung Kai Properties Ltd., Hong Kong's second largest real estate developer, rose 1.1 percent to HK$71.
They advanced on expectations U.S. and local rates will fall after a U.S. report showed the economy added fewer jobs than expected in November. Hong Kong rates follow U.S. rates due to the currency peg. Lower rates reduce the cost of funding and encourage more demand for loans.
Still, Cheung Kong (Holdings) Ltd. declined 1.5 percent to HK$97.25 after MSCI made no mention of reinstating the stock to its indexes as expected. Cheung Kong last week staged its biggest four-day rally in half a year.
``There was speculation Cheung Kong will be included so the stock is subjected to profit-taking,'' said Ben Kwong, a director at KGI Asia Ltd.
Australia
Australia's S&P/ASX 200 index gained 27.40 to 3315. Rio gained 2.7 percent to A$29.50 and BHP added 0.8 percent to A$19.82 on optimism earnings at resource companies are more resistant to the effects of a slower domestic economy.
``Investors are trying to come to grips with how economic growth is going to pan out next year, certainly with the slowdown in the U.S.,'' said Winston Sammut, who helps manage A$1.5 billion in investments at Ausbil Dexia Ltd. ``There's enough growth prospects in the rest of the world to take up the slack that is going to be caused by the U.S.'' slowdown.
News Corp and Telstra Corp. gained as investors said yesterday's decision by Morgan Stanley Capital International Inc. to change the way it calculates its indexes is already reflected in the two's share prices.
Telstra, which is 50.1 percent government-owned, rose 2.2 percent to A$6.42 after declining 2 percent Friday and News Corp., of which Chairman Rupert Murdoch holds a third, gained 0.5 percent to A$16.38 from an 11-month low after losing 3.8 percent Friday.
``People who are entering or leaving stocks (to adjust to the changes) have a lot longer period than expected,'' said Adrian Mulcahy, who helps manage A$300 million ($164 million) in Australian equities at Perennial Investment Partners Ltd. in Melbourne.
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