Asian markets rally on exporters, banks and declining oil (MarketWatch) (30-07-2008)

HONG KONG (MarketWatch) -- Asian markets made a significant comeback on Wednesday, on exporters, banks and airline and automobile stocks due to the decline in crude-oil prices.

In Tokyo, the Nikkei 225 Average climbed 1.4% to 13,349.29, after declining 1.5% in the previous session, while the broader Topix index advanced 1.4% to 1,299.61.

In Hong Kong, the Hang Seng Index rose 2.2% to 22,740.34 and the Hang Seng China Enterprises Index jumped 3.2% to 12,538.35, with some analysts expecting further gains in the next few days.

Australia's S&P/ASX 200 rose 2% to 4,945.40 after declining for three straight sessions, and South Korea's Kospi added 0.9% to 1,581.45, while New Zealand's NZX 50 index gained 1.5% to 3,284.21.

Singapore's Straits Times Index rose 1.2% to 2,921.57 and China's Shanghai Composite climbed 0.7% to 2,868.80. India's Sensitive Index advanced 1.8% in the early minutes.

Regional detail

Financial shares recovered substantially after the advance on Wall Street, with Mizuho Financial Group rising by 1.5%, Industrial Bank of Korea soaring 4.6% and Commonwealth Bank of Australia rising sharply by 3.1%. In Hong Kong, shares of market heavyweight HSBC Holdings climbed 1.7%.

Shares of Nomura Holdings Inc. added 3% even though the company reported a net loss of 76.59 billion yen ($716 million) Tuesday, on additional provisions on its exposure to bond insurers and write-downs on private equity investments.

National Australia Bank stock gained 2.8% for its first advance in four sessions, after the Australian newspaper reported that the lender's board is speculated to be considering replacing Chief Executive John Stewart with the head of the bank's New Zealand operation, Cameron Clyne.

r it reported a 13% year-on-year drop in quarterly profits on higher costs and a stronger yen.

Source: MarketWatch