Asia Stocks Rise From Month Low on U.S. Jobs, China Data

Asian stocks rose, with the regional benchmark rebounding from a one-month low, after better-than-expected U.S. payrolls data weakened the yen and China’s industrial production gained more than forecast.

Honda Motor Co. (7267), a carmaker that gets 47 percent of its revenue in North America, added 1.7 percent. Yashili International Holdings Ltd. soared by a record in Hong Kong after companies agreed to buy the dairy producer’s shares. Nexon Co., a developer of online games, plunged 21 percent in Tokyo after it forecast earnings that missed analyst estimates.

The MSCI Asia Pacific Index rose 0.3 percent to 139.44 as of 5:14 p.m. in Tokyo with all but one of its 10 industry groups gaining. The gauge closed on Nov. 8 at the lowest level since Oct. 8. U.S. stocks rallied the same day after a jobs report added to signs growth in the world’s biggest economy is strong enough to withstand a cut to stimulus.

“Markets are going to be worried about how quickly the U.S. is going to start removing some of its stimulus program, but I think overall economic data is supportive of equity markets,” said Stephen Halmarick, Sydney-based head of investment markets research at Colonial First State Global Asset Management, which oversees about $160 billion.

The Asia-Pacific gauge traded at 13.5 times estimated earnings as of Nov. 8, according to data compiled by Bloomberg. That compares with multiples of 16 for the Standard & Poor’s 500 Index and 15 for the Stoxx Europe 600 Index on Nov. 8.

Regional Gauges

Japan’s Topix index rallied 0.8 percent after the yen fell 1 percent versus the dollar on Nov. 8, the most since Sept. 19. The nation’s current account surplus grew 14.3 percent from a year earlier to 587 billion yen, a report showed today.

Australia’s S&P/ASX 200 Index fell 0.3 percent even as home-loan approvals grew in September by more than expected. New Zealand’s NZX 50 Index slipped 0.6 percent. South Korea’s Kospi index lost 0.4 percent. Hong Kong’s Hang Seng Index (HSI) jumped 1.4 percent and China’s Shanghai Composite Index gained 0.2 percent. Taiwan’s Taiex Index slid 0.6 percent, while Singapore’s Straits Times Index added 0.3 percent.

The Philippine Stock Exchange PSEi Index (PCOMP) slumped 1.4 percent, the biggest loss since Sept. 30, after Super Typhoon Haiyan killed as many as 10,000 people and flooded islands.

China’s industrial output rose a more-than-estimated 10.3 percent from a year earlier in October, according to data released Nov. 9 by the National Bureau of Statistics. October inflation was a less-than-forecast 3.2 percent, producer prices fell 1.5 percent from a year earlier and retail sales rose 13.3 percent. Chinese President Xi Jinping and Communist Party leaders tomorrow conclude a four-day gathering to map out reforms.

U.S. Jobs

Futures on the S&P 500 lost 0.1 percent after the measure jumped 1.3 percent on Nov. 8. U.S. employers added 204,000 workers last month after a revised 163,000 gain in September that was larger than previously estimated, Labor Department figures showed Nov. 8. The increase in payrolls topped the most optimistic forecast in a survey of economists.

The Federal Reserve has said it needs to see more evidence of sustained economic improvement before slowing its $85 billion of monthly asset purchases. Economists predict the central bank will maintain bond purchases at the current pace until March, according to a Bloomberg survey conducted Nov. 8. Policy makers next meet on Dec. 17-18.

Honda, Komatsu

Japanese exporters to the U.S. gained with Honda rising 1.7 percent to 3,935 yen. Komatsu Ltd., a Japanese construction machinery maker that gets 30 percent of its revenue from the Americas, rose 1.2 percent to 2,116 yen. Canon Inc., the world’s biggest camera maker, rose 0.5 percent to 3,100 yen.

Yashili International soared 17 percent to HK$4.24, resuming traded halted since Aug. 15. Parent company China Mengniu Dairy Co. agreed to sell HK$1.65 billion ($213 million) in shares to five companies including a unit of Temasek Holdings Pte to meet the minimum amount of stock in circulation.

Orica Ltd., a provider of explosives and blasting systems, surged 12 percent to A$21.81 in Sydney as it entered an agreement to buy natural gas with Esso Australia Resources Ltd. and BHP Billiton Ltd.

Nexon plunged 21 percent to 877 yen after forecasting full-year net income of 39.4 billion yen to 40.3 billion yen ($398 million to $407 million), missing the 43.5 billion yen average estimate of thirteen analysts surveyed by Bloomberg.

Of the companies on the MSCI Asia Pacific Index that have reported quarterly profit this season and for which Bloomberg compiles estimates, about 51 percent exceeded analysts’ expectations.

Robinsons Retail Holdings Inc., an operator of supermarkets and department stores controlled by billionaire John Gokongwei, lost 2.6 percent to 56.50 pesos on its trading debut following the largest Philippine initial public offering.

To contact the reporter on this story: Yoshiaki Nohara in Tokyo at ynohara1@bloomberg.net

To contact the editor responsible for this story: Sarah McDonald at smcdonald23@bloomberg.net

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