HONG KONG: Asian markets were mostly higher Wednesday, with Tokyo posting another set of gains on the back of a weaker yen, while upbeat data out of the United States also provided some support.Tokyo added 0.39 percent by the break, Hong Kong gained 0.41 percent, and Shanghai was up 0.12 percent while Seoul rose 0.20 percent.Sydney was flat but Singapore fell 0.20 percent.
Exporters in Tokyo led the gains after the dollar struck a two-month high against the yen in New York.In early Tokyo trade the greenback was at 83.76 yen, unchanged from late New York Tuesday, where it touched 83.93 earlier on.
The US currency is riding high after the US Federal Reserve said manufacturing activity in the New York region accelerated in February to its highest level since June.That came as the Labor Department said import prices rose more than expected, by 1.5 percent, in January, on the back of surging oil costs. Prices were 5.3 percent higher than in January 2010, the sharpest gain since May.
The only fly in the ointment came from news that retail sales, a key indicator of the consumer spending that drives two-thirds of the economy, slowed to a weaker-than-expected 0.3 percent rise in January. Although severe snow storms across much of the country appeared to be a factor.Shanghai rose for a fifth straight session on steelmakers, who were boosted by product cost hikes, but analysts said Tuesday's inflation data showing a 4.9 percent rise in prices could limit the market amid further tightening fears.
In Sydney BHP Billiton edged down as traders widely expected its results, which showed half year net profits surged 72 percent to $10.52 billion thanks to a recovery in the West and strong growth in emerging markets.
The Asian advances came despite a 0.34 percent fall on the Dow Tuesday, which analysts partly put down to consolidation after the index posted some healthy gains recently.On currency markets the euro was bolstered by news that German state controlled lender WestLB reached a deal on its restructuring and downsizing before a crucial deadline, said Yuzo Sakai, manager of FX business promotion at Tokyo Forex & Ueda Harlow.
The euro fetched $1.3521 in Tokyo morning trade, up from $1.3488 in New York late Tuesday. The common currency rose to 113.25 yen from 112.97.Oil was up in Asian trade Wednesday, with New York's main contract, light sweet crude for March delivery gaining 18 cents to $84.50 per barrel.Brent North Sea crude for delivery in April added 18 cents to $101.82.Gold opened at $1,371.50-$1,372.50 an ounce in Hong Kong, up from Tuesday's close of $1,364.00-$1,365.00.
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