ASIA MARKETS: Japan Stocks Up, Australia Down Before China Data

By V. Phani Kumar, MarketWatch

HONG KONG (MarketWatch) -- Japanese stocks rose Friday, with a rebound on Wall Street helping lift several beaten-down shares after heavy losses in the previous two sessions, while Australian and South Korean shares fell on caution ahead of the release of a slew of Chinese data.

Japan's Nikkei Stock Average rose 0.3%, paring its loss so far this week to about 5.7%.

But Australia's S&P/ASX 200 fell 0.8%, and South Korea's Kospi slipped 0.3%.

China was expected to report later Friday an acceleration in July consumer prices to a rate of 2.9% from the year-ago month, according to estimates compiled by FactSet. Wholesale inflation figures are also due out, to be followed later in the day with industrial production, retail sales and fixed-asset investment numbers.

"We feel even just consensus readings on China data will be enough to satisfy investors and promote the recovery," said IG Markets strategist Stan Shamu, noting better-than-expected Chinese trade figures for July, released Thursday, had helped improve sentiment in global markets.

U.S. stocks rebounded Thursday to snap a three-day losing streak after the Chinese trade data, with the action also driven by further consideration of the Federal Reserve's outlook for its monthly bond purchases.

In Tokyo on Friday, shares of Mitsubishi Material Corp. (MIMTF) climbed 6.7%, Softbank Corp. (9984.TO) gained 0.5%, and Trend Micro Inc. (TMICY) climbed 1.9%.

 
   On the downside, Nikon Corp.   (NINOY) plunged 10.8% after its weak first-quarter results. 
 

In Sydney, diversified miner BHP Billiton Ltd. (BHP) gained 1.6%, and rival Rio Tinto Ltd. (RIO) added 1.2%, while gold company Newcrest Mining Ltd. (NCMGF) leapt 3.4%.

But losses in the financial and retail sectors weighed on the market, with Commonwealth Bank of Australia (CBAUY) losing 1.1%, and Wesfarmers Ltd. (WFAFY) shedding 1.4%.

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