Asian stock markets rise as economic indicators suggest slowdown not as severe as feared

Asia stocks gain on Japan, US economy indicators

MUMBAI, India — Most Asian markets gained Friday after Japan said its economy grew more than estimated and better U.S. jobs and trade figures eased fears that the world’s largest economy might slip back into recession.

Japan’s Nikkei 225 stock average was up 117.90 points, or 1.3 percent, at 9,216.29 after slipping back from the morning’s 2 percent rise. Investors welcomed figures showing that improved capital spending helped Japan’s economy grow 0.4 percent in the second quarter from the previous quarter, compared with an initial estimate of 0.1 percent.

The yen slipped against the dollar, helping Japanese exporters, who led gains in Tokyo. Canon Inc. was up 5.2 percent, Toyota Motor Corp. rose 0.9 percent and Sony Corp. gained 1.3 percent.

South Korea’s Kospi Composite rose 1.1 percent to 1,803.48 and Taiwan’s benchmark gained 0.7 percent to 7,888.11. Markets in Thailand and New Zealand also rose.

A slowdown in China’s export growth for August reflected unexpectedly weak orders by foreign retailers for the peak Christmas selling season, some analysts said, sending Chinese and Hong Kong stocks lower. But China’s imports — an important contributor to growth in Asia — rebounded.

The Shanghai Composite Index slipped 0.1 percent to 2,652.19 while Hong Kong’s Hang Seng Index fell less than 0.1 percent to 21,159.30.

In New York overnight, rose 28.23, or 0.3 percent, to close at 10,415.24. The Standard & Poor’s 500 index rose 5.31, or 0.5 percent, to 1,104.18 while the Nasdaq composite index rose 7.33, or 0.3 percent, to 2,236.20.

The U.S. Labor Department said the number of people requesting unemployment benefits for the first time fell to the lowest level in two months, adding to signs that employers aren’t resorting to staff cuts as economic growth slows. The U.S. trade deficit narrowed a greater-than-expected 14 percent in July to $42.8 billion, which also boosted confidence.

In currencies, the dollar traded above 84 yen but later fell back to 83.87 yen from 83.95 yen in New York late Thursday. The euro fell to $1.2677 from $1.2686.

Benchmark crude for October delivery was up 61 cents at $74.86 a barrel in electronic trading on the New York Mercantile Exchange. The contract lost 42 cents to settle at $74.25 a barrel on Thursday.

Indian markets were closed Friday for the holiday of Ramzan-Id. Markets in Malaysia, Indonesia, Singapore and the Philippines were also closed for holidays.