0909862752

Asian Stocks Advance, Led by BHP; Qantas Surges on Takeover Bid
My, q10 0909862752
By Darren Boey
Nov. 22 (Bloomberg) -- Asian stocks rose the most in six weeks, led by BHP Billiton and PetroChina Co. after commodity prices increased. Benchmarks in Hong Kong, Singapore, India and Indonesia closed at record highs.
``Chinese demand for resources is going to drive the market for the foreseeable future,'' said Richard Wallace, who manages $100 million at Wallace Funds Management in Sydney. ``Investors are predicting the good times are going to last.''
Qantas Airways Ltd. surged on a takeover approach, leading the Australia's S&P/ASX 200 Index to the region's biggest advance. Sumitomo Mitsui Financial Group Inc. led gains among financial- related shares after the Nihon Keizai newspaper reported the bank will raise its dividend.
Samsung Electronics Co. led technology stocks higher after Dell Inc., the world's No. 2 maker of personal computers, reported better-than-expected earnings.
The Morgan Stanley Capital International Asia-Pacific Index gained 1.6 percent to 132.01 at 7:33 p.m. in Tokyo, set for its biggest advance since Oct. 5. All 10 industry groups rose. Japan's Nikkei 225 Stock Average added 1.1 percent while the Topix rose 1.3 percent, its first gain in six days.
Hong Kong's Hang Seng Index rose 1.3 percent to close at a record high after economic growth accelerated. Singapore's Straits Times Index added 1 percent and Indonesia's Jakarta Composite Index advanced 1.4 percent, both to close at new highs. India's Sensitive Index gained 0.7 percent for its second straight record.
Oil and Metals
BHP, the world's biggest mining company by market value, added 2.9 percent to A$26.43. PetroChina , the nation's largest oil company, advanced 5.2 percent to HK$9.39 in Hong Kong. Citigroup Inc. initiated coverage on PetroChina with a ``buy'' rating, according to a research report published today.
Inpex Holdings Inc., Japan's largest oil explorer, climbed 4.6 percent to 937,000 yen. Sumitomo Metal Mining Co., its biggest gold and nickel producer, rose 3.4 percent to 1,414 yen.
Crude-oil in New York yesterday climbed 2.3 percent to $60.17 a barrel, the biggest percentage gain since Oct. 25. Nickel futures in London rose 3.5 percent, while Copper in New York gained 2.2 percent. Both commodities posted their biggest gains since Oct. 16.
``Inpex and other commodity shares are closely tied to a movement in oil and metals prices so today's gain is a direct reaction to the jump in raw-material prices,'' said Katsunori Hirai, who helps oversee $20 billion at Tokio Marine Asset Management Co. in Tokyo.
Qantas Bid
Australia's Qantas, the country's largest airline, jumped 15 percent to A$5. The company said it received a takeover approach from Macquarie Bank Ltd. and Texas Pacific Group. Buyout offers for Australian companies surged to $27.3 billion this year from $1.4 billion in 2005, according to data compiled by Bloomberg.
``Interest from private equity firms is a vote of confidence for the market,'' said Shane Oliver, who helps manage about $64 billion at AMP Ltd. in Sydney. ``M&A activity in Australia is in early days yet. This could go on for another couple of years.''
A measure of financial-related stocks was the biggest contributor to the MSCI Asia-Pacific Index's gain today, climbing 2 percent.
Sumitomo Mitsui, Japan's third-biggest bank, rose 1.7 percent to 1.19 million yen. The lender plans to raise its annual dividend to about 6,000 yen from 4,000 yen, the Nihon Keizai newspaper reported.
Mitsui Trust Holdings Inc. gained 3.5 percent to 1,166 yen, rebounding from yesterday's drop of 6 percent after Nikko Citigroup Ltd. raised its rating on the stock to ``neutral'' from ``sell.''
ANZ, Samsung
Australia & New Zealand Banking Group Ltd., Australia's third-largest bank, advanced 0.8 percent to A$28.05. The lender received approval from Malaysia's central bank to begin talks to buy a minority stake in AMMB Holdings Bhd., ANZ Bank said in a statement today. AMMB stocks are suspended from trading.
Samsung Electronics, the world's second-largest semiconductor maker, advanced 1.5 percent to 660,000 won. Hynix Semiconductor Inc., Asia's second-biggest maker of computer- memory chips, added 2.3 percent to 35,750 won.
Taiwan's Hon Hai Precision Industry Co., which makes computer connectors for clients such as Dell, climbed 2.1 percent to NT$241.50 Singapore's Chartered Semiconductor Manufacturing Ltd., the world's third-biggest made-to-order chipmaker, gained 3.1 percent to S$1.34.
Dell Earnings
``Dell's report provides evidence that the computer industry is on solid ground,'' said Dennes Chang, who helps manage $2.5 billion of assets at Jih Sun Securities Investment Trust Co. in Taipei. ``Asian PC-related makers are benefiting from their role as suppliers.''
Dell yesterday reported third-quarter net income of $677 million, without providing comparable year-earlier figures. Per- share profit was 30 cents, higher than the 24 cents estimated by JPMorgan Securities.
The results came less than a week after Hewlett-Packard Co., the world's largest personal-computer maker, said fiscal fourth- quarter profit rose fourfold.
Sun Hung Kai Properties Ltd., Hong Kong's biggest developer by market value, climbed 1.6 percent to HK$90.70. Cathay Pacific Airways Ltd., Asia's second-most profitable carrier, added 2.1 percent, to HK$18.78.
Hong Kong's economic growth accelerated 6.8 percent in the third quarter, more than economists forecast.
``The growth mainly comes from the financial sector,'' said Wilfred Sit, who helps manage about $4 billion of Asian equities at Baring Asset Management (Asia) Ltd. in Hong Kong. ``If the economy continues to be strong, it certainly helps'' improve company earnings outlooks and boost market sentiment, he said.
NEC Corp., Japan's largest PC maker, slid 5.6 percent to 557 yen, set for its biggest decline in three years, after the company's first-half loss widened fivefold on slumping sales. Australia & New Zealand Banking Group Ltd. (ANZ AU)
BHP Billiton (BHP AU)
Chartered Semiconductor Manufacturing Ltd. (CSM SP)
Cathay Pacific Airways Ltd. (293 HK)
Hynix Semiconductor Inc. (000660 KS)
Hon Hai Precision Industry Co. (2317 TT)
Inpex Holdings Inc. (1605 JP)
Mitsui Trust Holdings Inc. (8309 JP) NEC Corp. (6701 JP)
PetroChina Co. (857 HK)
Qantas Airways Ltd. (QAN AU)
Sumitomo Mitsui Financial Group Inc. (8316 JP)
Samsung Electronics Co. (005930 KS)
Sumitomo Metal Mining Co. (5713 JP)
Sun Hung Kai Properties Ltd. (16 HK)