Asian Stocks Rise as Yen Weakens and Oil Prices Increase

Strategic Insights -

Asian stocks rose on Thursday, with Japanese futures and Australian shares gaining after the yen weakened and oil prices increased. Nissan Motor Co. and Mitsubishi Corp. saw slight gains, while Lihir Gold Ltd. surged 31 percent after rejecting a takeover offer from Newcrest Mining Ltd. The Japanese fiscal year began on Thursday, and the Bank of Japan is set to announce business confidence data.

Key Takeaways:

  • Asian stocks rose on Thursday, with the MSCI Asia Pacific Index gaining 0.2 percent.
  • Japanese futures on the Nikkei 225 Stock Average expiring in June closed at 11,140 in Chicago, compared with 11,090 in Singapore.
  • Lihir Gold Ltd. soared 31 percent in Sydney after rejecting a A$9.2 billion takeover offer from Newcrest Mining Ltd.
  • Nissan Motor Co. and Mitsubishi Corp. saw slight gains of 0.4 percent each.
  • The yen weakened to 93.51 against the dollar, boosting the value of sales generated overseas for Japanese companies.
  • Crude oil prices surged 1.7 percent to $83.76 a barrel, and the London Metals Index gained 0.2 percent.
  • The Tankan Survey by the Bank of Japan will be announced before the market opens.
  • Valuations in the MSCI Asia Pacific Index are at 19 times estimated earnings, compared with 15 times for the S&P 500.

Statistics:

  • The MSCI Asia Pacific Index has increased 3.9 percent this year.
  • The S&P 500 has gained 4.9 percent this year.
  • The Stoxx Europe 600 Index has increased 3.8 percent this year.
  • The yen depreciated to 93.51 against the dollar, a 0.1 percent decrease.
  • Oil prices surged 1.7 percent, reaching $83.76 a barrel.
  • The London Metals Index gained 0.2 percent.
  • Lihir Gold Ltd. surged 31 percent in Sydney.
  • Nissan Motor Co. and Mitsubishi Corp. saw slight gains of 0.4 percent each.

Sources:

  • Bloomberg
  • Euclid Infotech Pvt. Ltd.
  • Institute for Supply Management-Chicago Inc.
  • Mitsushige Akino, Ichiyoshi Investment Management Co.