Asian stocks gained on Monday in morning trade as euro zone banking jitters faded and telecommunications firms and healthcare shares advanced.
The MSCI Asia Pacific Index added 0.3% to 146 as of 9:42 a.m. in Hong Kong. Japan’s Topix index rose 0.3%. Australia’s S&P/ASX 200 Index added 0.5%. New Zealand’s NZX 50 Index rose 0.2%. Hong Kong’s Hang Seng Index gained 0.6% and the Shanghai Composite Index increased 0.1%.
Singapore’s Straits Times Index slid 0.1% as a report showed the economy unexpectedly contracted in the second quarter after manufacturing slumped, hurt by a tighter labor supply. Taiwan’s Taiex index added 0.1% and South Korea’s Kospi index advanced 0.4%.
In corporate news, SoftBank Corp. added 1.4% in Tokyo, leading phone companies to the largest gain among 10 industry groups on the regional index.
Sumitomo Dainippon Pharma Co. surged 4% after Canada approved the use of one of the Japanese pharmaceutical manufacturer’s drugs.
Hyundai Hysco Co. slumped 3.2% as the US government imposed duties on steel pipe from South Korea and eight other nations.
More than $1 trillion has been wiped from the value of global stocks since a peak reached 3 July, as analysts brought forward estimates for Fed rate increases and a parent of Portugal’s Banco Espirito Santo SA missed a bond payment, reigniting concerns over Europe’s financial stability as it emerges from its sovereign-debt crisis.