Asia stocks broadly higher; Nikkei hits highest level since July 2008

Investing.com - Asian stock markets were broadly higher during late Asian trade on Thursday, with shares in Japan hitting the highest level since July 2008 after the Bank of Japan pledged to take all measures to lift the country out of deflation.

Sentiment was further underpinned after the Dow Jones Industrial Average and the S&P 500 Index closed at fresh record highs on Wednesday.

During late Asian trade, Hong Kong's Hang Seng Index gained 0.8%, Australia’s ASX/200 Index ended up 0.7%, while Japan’s Nikkei 225 Index rallied 2%.

In Tokyo, the Nikkei ended at a fresh five-year high as the U.S. dollar edged closer to the key 100-yen level, boosting the earnings outlook for many big name Japanese exporters.

Automakers Mazda and Toyota rallied 4% and 5.8% respectively, while Sony and Canon added 1.6% and 4.2% apiece.

Electronics maker Sharp saw shares rally 8% after a Nikkei news report said the company was set to report an October-March operating profit well above forecasts.

Japanese megabanks were also higher, with shares in the nation’s largest lender Mitsubishi UFJ Financial Group rising 2.6%, while brokerage firms Nomura Holdings and Daiwa Securities surged 8.2% and 5% respectively.

Meanwhile, in Hong Kong, the Hang Seng advanced for the fourth consecutive day as financial sector stocks and property developers performed strongly.

China Construction Bank saw shares gain 1%, while China’s largest lender Industrial and Commercial Bank of China tacked 1.2%.

Shares in Hong Kong’s third largest property developer Hang Lung Properties climbed 2.5%, while rivals Sun Hung Kai Properties added 0.6%.

Elsewhere, in Australia, the benchmark ASX/200 Index ended higher despite data showing that the nation’s unemployment rate rose to a more-than-expected 5.6% in March.

The economy lost 36,100 jobs in March, compared to expectations for a decline of 6,700.

The big four banks all rose, with Australia's top lender, the Commonwealth Bank of Australia adding 1%, while National Australia Bank and Westpac Banking Group advanced 1.1% and 1.8% respectively.

Looking ahead, European stock market futures pointed to a lower open, after the minutes of the Federal Reserve’s March meeting showed that several policymakers favor an early end to the bank’s asset purchase program.

The EURO STOXX 50 futures pointed to a loss of 0.1% at the open, France’s CAC 40 futures dipped 0.1%, London’s FTSE 100 futures were little changed, while Germany's DAX futures pointed to a loss of 0.25% at the open.  

The Fed minutes, which were inadvertently released ahead of schedule, showed that that a few policymakers saw quantitative easing tapering around midyear, while several others believed it would be appropriate to slow later in the year and to stop by the end of the year.

Investors were now looking ahead to the weekly U.S. government report on initial jobless claims and data on import prices later in the day.