Asian Stocks advance on optimism of China Economic Growth Target (Bloomberg) (05-03-2009)

March 5 (Bloomberg) -- Asian stocks gained for a second day, led by commodity and construction companies, after China’s Premier Wen Jiabao said the country’s economic growth target for this year is within reach.

Japan’s Nikkei 225 Stock Average climbed 2%. All markets rose except Hong Kong, South Korea, Singapore, India and Sri Lanka. Hong Kong’s Hang Seng Index fell 1%, after rising 1.3% earlier. China’s Shanghai Composite Index rose 1%, paring a 2% gain.

SM Prime Holdings Inc., the largest Philippine shopping mall operator, advanced 4.1% on optimism its expansion in China will boost earnings. Mitsui O.S.K. Lines Ltd., the world’s largest operator of iron-ore vessels, leapt 7% after shipping fees climbed. NEC Electronics Corp., Japan’s third- biggest chipmaker, surged 8.7% after Goldman Sachs Group Inc. advised investors to buy semiconductor shares.

BHP Billiton jumped 4.4 to A$28.31. Rio Tinto Group, the world’s third-largest miner, surged 5.2% to A$45.75.

Komatsu Ltd., the world’s second-biggest maker of earthmoving equipment, climbed 3.8% in Tokyo to 1,075 yen. Hitachi Construction and Machinery Co., the world’s largest maker of giant excavators, rose 2.7% to 1,246 yen.

Mazda Motor soared 11% to 137 yen after the yen depreciated against the dollar to as much as 99.53, the weakest level since Nov. 5, from 98.44 at the 3 p.m. close of stock trading in Tokyo.

Honda Motor Co., which makes 51% of its revenue in North America, climbed 2.5% to 2,260 yen. Nissan Motor Co. Ltd., Japan’s No. 3 automaker, rose 6.1% to 330 yen.

Mitsui O.S.K climbed 7% to 502 yen after the Baltic Dry Index rose 2.5% yesterday in London, the most since Feb. 19. Nippon Yusen K.K. advanced 4.9% to 405 yen, the first gain in five days.

Mizuho Financial Group Inc. rose 2.8% to 185 yen after saying yesterday it will hold 58% of the company to be created through the merger of Mizuho Securities Co. and Shinko Securities Co. Shinko added 4% to 945 yen.

Source: Bloomberg