Most Asian Markets Open Higher While Nikkei Bounces Back

Most Asian markets inched up in early trade as the Japanese Nikkei moved up from its biggest single-day drop in two years, supported by a late rally in the US after PC maker Hewlett-Packard raised its outlook.

Japan's Nikkei average shot up 2% or 289 points to 14772.98, after tanking 7% on 23 May on weak Chinese factory data. China's Shanghai composite index inched up 0.10% or 2.18 points to 2277.84.

China, the world's second largest economy, is a major export market for Japan, the world's third largest economy.

Australia's S&P/ASX was down 1.83% or 92.60 points to 4969.80, pulled down by the resources sector. South Korea's Kospi was up 0.07% or 1.37 points to 1970.56. The Hang Seng was down 0.21% or 46.88 points to 22622.80

Wall Street indices had opened lower and plunged to triple-digit lows but made up most of the losses by the end of day's trade, owing to a rally in HP's stock, after the world's largest PC maker raised its outlook.

The Dow Jones Industrial Average was down 0.08% while the S&P 500 lost 0.29%.

In Hong Kong, the Lenovo Group moved up 4.2% after it reported a 34% surge in annual profit.

Developer Cheung Kong Holdings lost 2.2% as the stock traded without rights to a dividend, while China Overseas Land & Investment lost 1.7%. China Life Insurance lost 1%.

In Tokyo, Mazda Motor jumped 7.2% while Shinsei Bank shot up 6.1%. Mobile-service provider Softbank gained 3.8%. Realty firm Mitsui Fudosan and Dai-ichi Life Insurance both moved up 3.2%.

In Sydney, Echo Entertainment Group plummeted 10.5% on news that Crown sold a 10% stake in the casino operator. Commonwealth Bank of Australia dropped 1.1%.

BHP Billiton and Woodside Petroleum were both down 1% each on speculation that the demand for resources would be lower after China reported a contraction in manufacturing activity. But gold miner Newcrest Mining rose 3.5% after gold futures shot up overnight.