By Sarah Turner, MarketWatch
SYDNEY (MarketWatch) -- Asia stocks gained on Wednesday, as
several Japanese telecom and technology companies benefitted from
smartphone exposure, while South Korea and Australia also saw some
buying ahead of a policy decision from the U.S. Federal
Reserve.
Japan's Nikkei Stock Average rose 0.9%, while South Korea's
Kospi moved up a more moderate 0.4%, and Australia's S&P/ASX
200 index advanced 0.3%.
Monetary policy was on the agenda for investors, with the U.S.
Federal Reserve due to wrap up a two-day policy meeting later
Wednesday. Investors were on alert for any signals as to the
duration of the Fed's bond-buying program.
With Spanish and U.S. gross domestic product figures also due
out, "data releases ahead of the Fed FOMC rate decision today will
keep markets busy, but activity will be limited, and markets will
move sideways until the Fed delivers its outcome," Crédit Agricole
strategist Mitul Kotecha said.
U.S. stock gains Tuesday set up a mostly positive lead for Asia,
with pharmaceutical giant Pfizer Inc. (PFE) leading blue-chip gains
after reporting fourth-quarter earnings that beat estimates.
Earnings outlooks gave the Japanese market an extra boost on
Wednesday, as Yahoo Japan Corp. (4689.TO) surged 18.8% after
updating its fiscal-year earnings forecast to a 10%-11% gain
year-on-year, amid growing online advertising revenue, including
for smartphones.
Telecoms also saw earnings-related buying, with Softbank Corp.
(9984.TO) up 2.8% after the Nikkei reported that the wireless
carrier is expected to post a 10% gain for its April-December
operating profit, helped by sales of Apple Inc.'s (AAPL)
iPhone.
Rival KDDI Corp. (KDDIF) -- which also sells the iPhone, and
which already posted a 40% gain in its October-December operating
profit late Monday -- saw its shares rise another 2.6% on
Wednesday.
Also among the wireless carriers, NTT DoCoMo Inc. (DCM) traded
up 0.2%, even as a separate Nikkei report tipped a 9% lower
nine-month operating profit for the firm.
Central Japan Railway Co. jumped 8.4% after reporting a 49% rise
in nine-month net profit, while among other rail shares, Keisei
Electric Railway Co. rose 1.3% and East Japan Railway Co. gained
1.5%.
On the downside in Tokyo, Komatsu Ltd. (KMTUF) lost 1%, and
Fujifilm Holdings Corp. (FUJI) fell 1.9% after both firms cut their
earnings outlooks while issuing weaker quarterly results.
In South Korean trading, Samsung Electronics Inc. (SSNLF) rose
1%, while rival chip maker SK Hynix Inc. (HXSCL) rose 2.3% after
reporting a swing to quarterly profit thanks to rising chip demand
on the release of new smartphones and other devices.
Australia saw major mineral extractors advance, with Rio Tinto
Ltd. (RIO) up 1.1%, and BHP Billiton Ltd. (RIO) higher by 0.9%.
The move in the mining sector offset losses for consumer-staples
firms, including Coles supermarket owner Wesfarmers Ltd. [(WFAFY),
which traded down 0.9% after reporting second-quarter sales
figures.
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