Asian shares close mostly higher – Business Spectator

AAP

Asian markets were mostly higher as traders awaited the release of United States jobs data, while Tokyo took a hit as the US dollar fell a day after breaking through the ¥100 level.

The gains on Friday came after another positive lead from Wall Street, with economists expecting a healthy rise in employment will give the US Federal Reserve another reason to begin winding down its huge stimulus program.

But Tokyo tumbled 1.45 per cent, or 204.01 points, to 13,860.81, with speculation that the capital would fail in its bid to host the 2020 Olympic Games adding to downward pressure.

Hong Kong rose 0.10 per cent, or 23.25 points, to 22,621.22 and Shanghai climbed 0.83 per cent, adding 17.56 points to 2,139.99.

Sydney was flat, edging up 2.5 points to end at 5,145 and Seoul finished 0.19 per cent, or 3.66 points, up at 1,955.31.

Profit-taking also capped buying at the end of a strong week for global markets fuelled by healthy manufacturing data from China, Europe and the US.

Analysts say Friday’s US non-farm payrolls data will likely play a big role in the Fed’s next move.

While a strong figure would provide more evidence the world’s top economy is on the road to recovery, it would also signal the beginning of the end of the Fed’s year-old bond-buying scheme, which has fuelled an investment drive in emerging economies.

Developing nations that benefited from the US central bank’s largesse – which led to record low interest rates at home – have seen their stock markets and currencies plummet in recent weeks as foreigners repatriate their cash.

“Tonight’s jobs report is highly crucial in helping the US Federal Reserve decide whether to taper stimulus or not at (its next policy meeting) later this month,” said Tim Radford, global analyst at trading firm Rivkin.

“The lack of direction in US markets overnight highlighted the cautious nature of investors … with lingering concerns over Syria lurking in the background also weighing,” he told Dow Jones Newswires.

The Dow edged up 0.04 per cent, the S&P 500 gained 0.12 per cent and the Nasdaq put on 0.27 per cent.

Radford added: “Regardless of the (US jobs) result … there should be plenty of confusion in the market following the data release.”

Tokyo, which had gained about five per cent this week, slipped as the yen rebounded against the US dollar.

The greenback, which on Thursday broke above ¥100 for the first time since July, dipped to ¥99.58 in late afternoon trade, compared with ¥100.12 late in New York.

The euro bought $US1.3122 and ¥130.66 compared with $US1.3117 and ¥131.35.

Dealers were also on edge because of fears of a US-led military strike on Syria, with Western powers accusing the Damascus regime of using chemical weapons on its own civilians.

Tensions over the Middle East increased on Thursday after the US envoy to the United Nations accused Russia of holding the UN Security Council hostage over the crisis.

On oil markets New York’s main contract, West Texas Intermediate for delivery in October, rose 28 US cents to $US108.65, while Brent North Sea crude for October added five US cents to $US115.32.

Gold cost $US1,368.80 an ounce at 1810 AEST, compared with $US1,395.70 late on Thursday.

In other markets:

– Taipei ended flat, edging down 4.90 points to 8,164.2.

PC maker Acer fell 0.99 per cent to $Tw20.1 while Taiwan Semiconductor Manufacturing Co rose 0.49 per cent to $Tw102.0.

– Manila advanced 0.26 per cent, or 15.40 points, to 5,974.62.

Philippine Long Distance Telephone added 0.86 per cent to 2,810 pesos, while SM Investments advanced 1.47 per cent to 692 pesos and Alliance Global was up 0.57 per cent at 26.25 pesos.

– Wellington fell 0.16 per cent, or 7.17 points, to 4,597.18.

Telecom added 0.23 per cent to $NZ2.21, while Fletcher Building fell 1.4 per cent to $NZ9.28 and Fisher & Paykel Healthcare shed 2.5 per cent to $NZ3.58.