Asia report: Most markets higher as China consumer prices fall

In Japan, the Nikkei 225 was up 0.19% at 29,562.93, as the yen weakened 0.15% against the dollar to last trade at JPY 104.75.

Of the major components on the benchmark index, automation specialist Fanuc was up 0.31%, fashion firm Fast Retailing added 0.42%, and technology conglomerate SoftBank Group was 1.56% higher.

The automotive sector was in focus in the country, with carmaker Toyota rising 1.7% and supplier Denso ahead 0.39%, after self-driving vehicle start-up Aurora announced a collaboration with the two companies.

Aurora, which bought Uber’s self-driving development unit in December, said it would work with Toyota and Denso to “build and globally deploy self-driving cars at scale”.

Nissan, meanwhile, jumped 3.73% after chief executive Makoto Uchida told media the company was committed to electric vehicles.

He said the firm was looking to electrify all of its new offerings “from the early 2030s in key markets,” according to CNBC.

Nissan was also working to reduce the impact of the global semiconductor shortage, which was affecting carmakers significantly, Uchida added.

The broader Topix index gained 0.27% by the end of trading in Tokyo, settling at 1,930.82.

On the mainland, the Shanghai Composite was 1.43% firmer at 3,655.09, and the smaller, technology-heavy Shenzhen Composite advanced 1.75% to 2,460.54.

Consumer inflation was in negative territory for January, according to China’s National Bureau of Statistics, with the consumer price index down 0.3% year-on-year for the month.

Producer prices rose, meanwhile, with the official producer price index rising 0.3% over the same 12-month period.

“The recent rise in bond yields has undergone a pause over the past couple of days with the latest China inflation data showing a surprise decline of -0.3% in January, while factory gate prices edged into positive territory for the first time in over a year,” noted CMC Markets chief market analyst Michael Hewson.

South Korea’s Kospi managed gains of 0.52% to 3,100.58, while the Hang Seng Index in Hong Kong added 1.91% to close at 30,038.72.

The blue-chip technology stocks were mixed in Seoul, with Samsung Electronics down 1.33%, while SK Hynix rose 0.4%.

“The rally in US markets underwent a bit of a pause for breath yesterday, while markets in Asia had another positive session,” Michael Hewson added.

“The optimism over an economic rebound has been reflected in the rise that we’ve seen in copper and crude oil prices over the past few weeks, with the price of copper hitting its highest level in eight years.

"Platinum prices have also hit six-year highs on a similarly optimistic outlook about future global demand, as well as expectations over a transition to a greener global energy platform in the longer term.”

Oil prices were higher at the end of the Asian day, with Brent crude last up 0.56% at $61.43 per barrel, and West Texas Intermediate advancing 0.45% to $58.62.

In Australia, the S&P/ASX 200 rose 0.52% to 6,856.90, while across the Tasman Sea, New Zealand’s S&P/NZX 50 was the region’s odd one out, falling 0.76% to 12,830.03.

The down under dollars were both weaker on the greenback, with the Aussie last off 0.17% at AUD 1.2943, and the Kiwi retreating 0.35% to NZD 1.3860.