Asia report: Stocks rise, Weibo disappoints on Hong Kong debut

Stock markets were in positive territory across the board in the Asia-Pacific region on Wednesday, with Chinese social media giant Sina Weibo in focus as it made its Hong Kong debut.

In Japan, the Nikkei 225 was up 1.42% at 28.860.62, as the yen strengthened 0.17% on the dollar to last trade at JPY 113.41.

Technology conglomerate SoftBank Group was down 0.27%, while among the benchmark’s other major components, automation specialist Fanuc jumped 4.06% and fashion firm Fast Retailing was 1.31% firmer.

The broader Topix index was 0.625 firmer by the end of trading in Tokyo, closing at 2,002.24.

On the mainland, the Shanghai Composite was aheads 1.18% at 3,637.57, and the smaller, technology-heavy Shenzhen Composite gained 1.77% to settle at 2,521.29.

South Korea’s Kospi managed a rise of 0.34% to 3,001.80, while the Hang Seng Index in Hong Kong added 0.06% to 23,996.87.

Weibo Corporation, which operates Chinese social media network Sina Weibo, disappointed on its debut day in the special administrative region, closing down 7.2%.

The poor performance came after its shares gave up more than 10% on the Nasdaq in the last week, which itself was on the back of Chinese cab-hailing app Didi Chuxing confirming plans to delist from the New York Stock Exchange.

Seoul’s blue-chip technology stocks, meanwhile, were mixed, with Samsung Electronics closing flat and SK Hynix losing 1.23%.

Chinese property developers were once again in focus, after confirmation that trading in Kaisa would be suspended on Wednesday amid concerns that it failed to meet a deadline on $400m in offshore debt on Tuesday.

Kaisa shares had previously been halted after it missed a payment on a wealth management product in November, while embattled property play China Evergrande was facing down another series of debt deadlines after narrowly avoiding default several times recently.

“Asian stocks pressed ahead despite gigantic Chinese property developer Evergrande being on the verge of collapse,” said AJ Bell investment director Russ Mould.

“A few months ago, Evergrande’s failure to make bond repayments spooked global markets and led to speculation of a potential crisis in China’s property and financial system.

“Now it seems as if markets have just accepted that Evergrande could collapse and there is no panic.”

Oil prices were lower at the end of the Asian day, with Brent crude last down 0.5% at $75.06 per barrel, and West Texas Intermediate losing 0.71% to $71.54.

In Australia, the S&P/ASX 200 was 1.25% firmer at 7,405.40, as the hefty financials index gained 0.85% by the close in Sydney.

The country’s big four banks staged a turnaround after floundering in early trading, with Australia and New Zealand Banking Group up 0.73% and Commonwealth Bank of Australia ahead 0.33%.

National Australia Bank jumped 1.02% by the close, and Westpac Banking Corporation was 0.57% firmer.

Across the Tasman Sea, New Zealand’s S&P/NZX 50 jumped 2.05% to end the session at 12,868.32.

Wellington’s bourse was led higher by subscription broadcaster Sky - no relation to the Comcast-owned UK namesake - which rocketed 14.6% higher.

That came after Forsyth Barr raised its target price on the company, following Sky’s announcement of an earnings upgrade on the back of a cost-cutting programme.

The down under dollars were mixed against the greenback, with the Aussie last ahead 0.09% at AUD 1.4034, while the Kiwi weakened 0.325 to last trade at NZD 1.4772.