Asian Shares Rebound As Middle East Concerns Ease

(RTTNews) - Asian stocks rebounded on Friday following recent string of losses on Middle East worries and uncertainty over the Federal Reserve's rate hike path.

Tech stocks led regional gains on the back of robust U.S. economic data released overnight and reports of delay in the Israeli ground invasion.

The dollar steadied and gold ticked higher ahead of the release of the U.S. personal consumption expenditures reading, the Federal Reserve's preferred inflation gauge, later in the day.

Crude prices rose around 2 percent in Asian trade after the U.S. military struck two facilities in eastern Syria that it identified as linked to the Islamic Revolutionary Guard Corps.

Also, the Israeli military said its troops and tanks had briefly entered northern Gaza.

Chinese shares rallied after data showed profits at China's industrial firms extended gains for a second month in September, helped by policy support to boost growth.

The benchmark Shanghai Composite index climbed 0.99 percent to 3,017.78 while Hong Kong's Hang Seng index jumped 2.08 percent to 17,398.73.

Japanese shares rose sharply, and government bond yields hit a decade high as an unexpectedly high reading for Tokyo core inflation stoked speculation the Bank of Japan may shift further away from its controversial bond yield control policy at its policy meeting next week.

Tokyo core consumer inflation, which excludes volatile fresh food prices, rose 2.7 percent in October, while economists had expected a 2.5 percent rise.

The Nikkei average jumped 1.27 percent to 30,991.69 while the broader Topix index settled 1.37 percent higher at 2,254.65.

Seoul stocks edged up slightly, with the Kospi average closing up 0.16 percent at 2,302.81 after a 2.7 percent plunge in the previous session.

Internet portal operator Naver and chemical producer LG Chem rose 2-3 percent while automaker Hyundai Motor dropped 2.2 percent and its affiliate Kia Corp shed 1.6 percent.

Australian markets eked out modest gains, after having hit a one-year low in the previous session on rate hike worries.

The benchmark S&P/ASX 200 edged up 0.21 percent to 6,826.90, with banks and consumer staple stocks pacing the gainers. The broader All Ordinaries index closed up 0.19 percent at 7,014.20.

Across the Tasman, New Zealand's benchmark S&P/NZX-50 index fell 0.75 percent to 10,766.82.

U.S. stocks fell notably overnight as investors weighed disappointing tech earnings against upbeat GDP data.

Treasury yields lingered near 5 percent after data showed the U.S. economy grew at a 4.9 percent annualized rate in the third quarter, above forecasts and the roughly 2 percent pace seen in the prior two quarters reflecting a surge in consumer spending.

In other economic news, durable goods orders jumped more than double economist's expectations in September, while initial jobless claims rose last week but still reflected a robust workforce.

The tech-heavy Nasdaq Composite slumped 1.8 percent deeper into correction territory, while the S&P 500 gave up 1.2 percent and the Dow dropped 0.8 percent.