Market Update
Asian markets rose Wednesday but the Nikkei bucked the trend as the Japanese currency rallied, pressuring shares of exporters.
The Nikkei fell 2.1%. The Shanghai Composite was up 0.2% while the Hang Seng closed 1.1% higher. The Sensex gained 1.6% while the All Ordinaries added 0.9%.
The yen gained after comments from BOJ Governor Haruhiko Kuroda dismissing the need for additional monetary easing. The yen was up 0.2% at 102.07 in electronic trading in Asia.
In Australia, data showed the number of new home loans granted rose more-than-expected last month.
Data also showed consumer confidence was up with the Westpac-Melbourne Institute’s monthly consumer sentiment index ticking up 30 basis points to 99.7.
Stocks on the Move
Exporters were expectedly lower in Tokyo with index heavyweight Sony falling 3.4%. In auto names, Mazda reversed 3.7% while Toyota and Suzuki were down 3.1% and 4.1% each, respectively.
Takeda Pharmaceutical closed down 1.1%. The company said it will fight the jury decision in the U.S. fining it punitive damages of $6 billion. Rival Daiichi Sankyo was down 3.6%.
Softbank was among the few gainers; up half a percent on speculation the company could turn its attention to Vodafone, with the merger of its Sprint unit with T-Mobile in the U.S. looking more and more unlikely.
Yahoo Japan Corp. was up 3%. A Nikkei newspaper said the company will start using China’s Alipay as an option for its shopping site.
In Hong Kong, Tencent gained 2.9%.
Real estate shares advanced after companies revealed increased sales in March. Agile Property pared most of the day’s gains but still ended up 0.6% while Evergrande Real Estate was up 1.6%.
In Mumbai, Sun Pharma extended gains and was the top gainer on the Sensex, up 6.9%.
Axis Bank and Tata Motors both gained 4.4% each while ICICI Bank and Hindalco ended up 4.2% and 4.1% each, respectively.
SBI and Tata Steel added 3.2% each while HDFC gained 3%.
Shares of Aussie department store major David Jones shot up 22.6% after the company said it had received a AUD2.15 billion takeover bid from South Africa’s Woolworths Holdings. David Jones said its board is recommending shareholders accept the offer which represents a 25% premium to its closing share price on Tuesday.
Other retailers were also higher with Myer Holdings up 3.9%. Myer had an earlier bid rejected by David Jones.
Worleyparsons closed up 6.9% after the company said it is restructuring into three divisions even as it would take a charge of A$35 million in the process.