Japan Leads Asia up

Ivaylo
26 Dec, 2006
New York City

Japanese shares advanced modestly to a fresh seven-month high, as steelmakers led the way, with nonferrous metal stocks and pharma shares also gaining. South Korean stocks closed down as local institutions took to profit-taking in transportation. Chinese shares rallied to another record high on strong interest for large-cap banks. Stock indexes in Hong Kong, Australia and New Zealand were closed for the Christmas holidays.

[R]7:30 AM Asian markets finished mostly higher on Tuesday with Japan, China up.[/R]
Asian markets finished mostly higher on Tuesday. The Nikkei 225 Index gained 0.5% to close at 17,169.19, its highest close since May 9. Advancers included Nippon Steel, rising 5.1%, Sumitomo Metal Industries, advancing 3.6%, and Mitsubishi Materials surging 5.7%. Pharma stocks also gained, with Takeda Pharmaceutical gaining 0.7%.

The Korea Composite Stock Price Index, or Kospi, in South Korea declined 0.3% to 1,433.92. Korean Air shed 1.4% and Kosdaq-listed Asiana Airlines declined 2%. Banks gained 0.4% on expectations of stable annual dividends compared with other shares. Korea Exchange Bank jumped 1.8%. LG.Philips LCD also rose 1.7% on bargain-hunting, bucking the technology downtrend.

The Shanghai Composite Index in China advanced 1.8% to 2,479.73. The pending Jan. 11 share listing by China Life, the No. 1 life insurer in the country, is helping aid demand. ICBC gained 5.8% and BOC gained 2.3%. Some large-cap fell, though, on profit-taking. Shanghai Pudong Development Bank dipped 1.2%, China International Marine Containers lost 3% and China Yangtze Power lost 1.7%.

[R]5:00 AM Gold and silver futures advanced, while copper prices fell on Friday.[/R]
At settlement, February gold gained 70 cents to end at $622.30 a troy ounce on the New York Mercantile Exchange, while March silver edged 14.5 cents higher to finish at $12.635 an ounce. January platinum ended $2.80 lower at $1,121.50 an ounce, while March palladium closed $1.10 weaker at $326.20 an ounce. Most-active March copper was down 2.65 cents at $2.8540 a pound.

The nearby February crude oil contract shed 25 cents to end at $62.41 a barrel. January heating oil futures dropped 1.97 cents to $1.6820 a gallon, while January unleaded gasoline slipped 1.91 cents to $1.6230 a gallon. Natural gas for January delivery settled 16.5 cents lower at $6.635 per million British thermal units.

In coffee trading, Arabica coffee futures declined as funds took some year-end profits. However, the market was aided by industry buying. Most-active March coffee finished 0.95 cents lower at $1.2540 a pound. Futures on raw sugar in foreign ports closed higher, with March sugar up 0.02 cents at 11.92 cents a pound, and May sugar up 0.05 cents at 11.84 cents a pound.