Investing.com - Asian stocks moved higher Thursday, lifted by better than expected U.S. factory orders and the prospects for higher earnings from the region’s exporters.
During early Asian trade, Hong Kong’s Hang Seng Index strengthened by 1.63% to 20,534.85, Japan’s Nikkei 225 Index advanced 0.9% to 9,029.70, Australia’s S&P/ASX 200 climbed 0.6% to 4,324.10, and South Korea’s Kospi Index picked up 1.4% to 1,906.69.
Along with the Nikkei, the broader-based Topix Index of all issues listed on the first section of the Tokyo Stock Exchange picked up 0.9% to 777.61.
Earlier Wednesday, the U.S. Census Bureau reported that factory orders jumped 2.4% in July, far exceeding economist’s forecasts of a 1% increase. That followed a 0.4% decline in June.
News on the U.S. labor front was less encouraging, as a separate report from payroll processing firm ADP revealed that non-farm private employment in the U.S. rose less than expected to a seasonally adjusted 91,000 in August.
The August figure follows a 109,000 gain in July and fell short of market expectations of an increase to 103,000.
Shares on Wall Street posted gains for the fourth straight day, although a rough August left both the Nasdaq Composite and S&P 500 indexes in the red for the year. The Dow Jones Industrial Average added 0.46%, the Nasdaq Composite Index advanced 0.13%, and the S&P 500 was lifted .49%.
In Tokyo electronics makers posted early gains on news that the Japanese government would be investing USD2.6 billion to develop small, flat screen technology in a joint venture with Sony Corp., Toshiba Corp. and Hitachi Ltd.
In early session trading, Sony shares were higher by 2.5%, Hitachi gained 0.7% while Toshiba erased earlier gains to fall 0.5%.
Automakers in South Korea got off to a fast start with Kia Motors Corp. surging 3.2%, and Hyundai Motor Co. up 2%.
According to data released on Thursday from the China Federation of Logistics & Purchasing, China’s purchasing manager’s index rose to 50.9 in August, up from 50.7 in July. The index remained at just above the 50-point break even figure that indicates economic expansion.
The outlook for European stocks was optimistic . France’s CAC 40 futures was higher by 0.39% to 3,276.40, Britain’s FTSE 100 futures rose 0.27% to 5,397.30, while Germany’s DAX futures added 0.38% to 5,787.40.