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Insurance industry

Asian Stocks Climb as Regulators' Split Eases Worries

Strategic Insights

— 1 min read

Asian stocks rallied, driven by finance companies, as concerns over regulatory scrutiny eased after regulators were reported to be split on suing Goldman Sachs Group Inc. Indonesian bank PT Bank Danamon Indonesia surged 4.8 percent in anticipation of higher profits, while finance shares contributed significantly to the MSCI Asia Pacific Index's advance. Morgan Stanley upgraded Japan's banks, and National Australia Bank Ltd. climbed 2.7 percent in Sydney after its bid for Axa Asia Pacific Holdings Ltd. was blocked by antitrust regulators.

Key Takeaways:

  • Finance shares led the MSCI Asia Pacific Index's advance, driven by Morgan Stanley's upgrade of Japan's banks.
  • PT Bank Danamon Indonesia jumped 4.8 percent in anticipation of higher profits, contributing to the overall market gain.
  • National Australia Bank Ltd. climbed 2.7 percent in Sydney after its bid for Axa Asia Pacific Holdings Ltd. was blocked by antitrust regulators.
  • Isuzu Motors Ltd. surged 4.6 percent in Tokyo after reporting better-than-expected full-year profits.
  • The Hang Seng Index climbed 1 percent in Hong Kong, while Japan's Topix Index rose 0.1 percent.
  • South Korea's Kospi index advanced 0.8 percent, and Indonesia's Jakarta Composite Index gained 1.8 percent.
  • Thailand's SET Index surged 5.4 percent, driven by increased earnings from Tisco Financial Group Pcl.
  • India's Sensitive Index gained 0.3 percent, with the central bank raising interest rates for the second time in a month.
  • Citigroup climbed 7 percent after its first-quarter profit more than doubled.

Statistics:

  • The MSCI Asia Pacific Index advanced 0.5 percent to 126.18 as of 7:31 p.m. in Tokyo.
  • Finance shares contributed 0.8 percent to the overall market gain.
  • A measure of finance companies in the MSCI Asia Pacific Index advanced 0.8 percent.
  • About twice as many stocks on the MSCI Asia Pacific Index gained as declined.
  • The Hang Seng Index climbed 1 percent in Hong Kong.
  • Japan's Topix Index rose 0.1 percent.
  • South Korea's Kospi index advanced 0.8 percent.
  • Indonesia's Jakarta Composite Index gained 1.8 percent.
  • Thailand's SET Index surged 5.4 percent.

Sources:

  • Bloomberg
  • "SEC Officials Vote 3-2 to Pursue Goldman Sachs Case" by Frederic Tomesco and Lynn Thomasson (Source not provided by Bloomberg)
  • Bloomberg (multiple articles)

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