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Asia stocks advance in thin trade; Nikkei closed for holiday

Published 01/03/2011, 02:52 AM
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Investing.com – Asian stocks edged higher amid thin trade in the first trading session of 2011 as markets in Japan, Australia, New Zealand and mainland China remained closed for the New Year's holiday.

During late Asian trade, Hong Kong's Hang Seng Index jumped 1.75%, South Korea's Kospi Composite rose 0.93%, while Japan’s Nikkei 225 Index was closed.

The Hang Seng’s gains came as shares in the energy sector performed strongly as crude oil prices hovered near a 26-month high.

Shares in China’s largest offshore oil producer Cnooc Limited surged 2.71%, oil and gas giant PetroChina saw shares jump 2.21%, while shares in China Shenhua Energy soared 1.99%.

Meanwhile, shares of property developers were broadly higher as shares in Hutchison Whampoa, Hong Kong's best-performing blue chip last year, surged 4.69% after it announced plans to buy several port and property assets from China Resources for approximately HK 5.7 billion.

Shares in Hong Kong’s largest property developer Sino Land jumped 2.20%, rivals New World Development saw shares climb 2.33%, while shares in Sun Hung Kai Properties gained 2.09%.

Elsewhere, shares in the world’s largest contract maker of mobile-phones Foxconn International Holdings surged 3.87% on bargain-hunting; the stock was the worst-performing member of the Hang Seng Index in 2010, losing nearly 40%.  

The outlook for European equity markets, meanwhile, was upbeat. The EURO STOXX 50 futures pointed to a gain of 0.54%, France’s CAC 40 futures indicated a rise of 0.23%, the FTSE 100 futures pointed to an increase of 0.13%, while Germany's DAX futures were up 0.45%.

Later in the day, the U.S. was to publish industry data on manufacturing activity as well as a report on construction spending.

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