China surge leads rise in most Asian shares
ASIAN shares mainly rose yesterday, led by a surge in China as hopes for more market intervention and state-backed mergers overshadowed weak economic data from the world's No. 2 economy.
Tokyo equities scraped back earlier losses to close up 0.41 per cent and Sydney added 0.63 per cent.
Shanghai led the gainers, with shares closing up 4.92 per cent on speculation that the government will accelerate mergers between state-owned enterprises and release new funds to support the market.
"Though the economy as a whole is not performing quite well, it may lead to more loosening of monetary policy," Zhang Qi, an analyst from Haitong Securities, told Agence France-Presse.
"There might also be more state investment and reform of state-owned enterprises."
Hong Kong clawed back early losses to end the day down 0.13 per cent, while Seoul bucked the regional trend to close 0.35 per cent lower.