© Reuters.
By Ambar Warrick
Investing.com — Most Asian stocks rose on Friday and were headed for a positive quarter amid easing fears of a banking crisis, with Hong Kong stocks leading gains on reports that e-commerce firm JD.com plans to follow rival Alibaba in splitting its operations.
The index jumped 1%, with shares of JD.com (HK:) (NASDAQ:) up nearly 7% after media reports said that the on the Hong Kong exchange, valuing them at $1 billion each.
The news comes after JD rival Alibaba Group Holding Ltd (HK:) (NYSE:) also announced a six-way split earlier this week, which was welcomed by investors in hopes that China’s regulatory attitude towards its technology giants will improve after a three-year crackdown.
Technology stocks were the biggest boosts to the Hang Seng on Friday, with Alibaba up 3.5%. This put the index on course for a nearly 3% weekly gain. The Hong Kong benchmark also added over 3% in the first quarter of 2023.
But Chinese stocks lagged their regional peers on Friday, with the and indexes up about 0.2% each.
Purchasing managers’ index (PMI) data showed that while Chinese grew at its fastest pace in 12 years in March, slowed from the prior month, pointing to an uneven recovery in Asia’s largest economy.
The manufacturing sector acts as a bellwether for China’s economy, and is facing increasing headwinds from slow overseas demand. This is also likely to delay a bigger recovery in the Chinese economy this year, despite the lifting of anti-COVID restrictions.
Still, China-exposed stock markets advanced on Friday. South Korea’s added 1%, while Australia’s index jumped 0.8%, and was set to add over 3% this week as markets began pricing in an imminent pause in the rate hikes.
Japan’s index surged 0.9% after data showed eased in March, albeit at a slower-than-expected pace. Other data showed that Japanese industrial production rebounded sharply in February following steep declines in January.
Broader Asian stocks advanced, and were set for strong quarterly performances as fears of a banking crisis eased. Focus is now squarely on the U.S. , which is the Federal Reserve’s preferred inflation gauge.
