Asian Stocks Climb for Third Day; BHP, Marui, Banks Lead Gains

Feb. 27 -- Asian stocks rose, sending a regional benchmark to a six-week high, as a rally in commodity prices and profit reports at Standard Chartered Plc and Marui Group Co. stoked optimism earnings will withstand a global slowdown.

BHP Billiton Ltd. gained after crude oil climbed to a record and copper futures rose. Standard Chartered, the London-based bank that makes two-thirds of its profit in Asia, jumped to a three-week high, while Marui Group, a Japanese department-store operator, surged the most in eight years. Industrial & Commercial Bank of China Ltd. led Chinese banks higher after JPMorgan Chase & Co. advised investors to buy their shares.

``Some of the excess bearishness concerning the domestic and global economies is melting away,'' said Takashi Miyazaki, who helps oversee $61 billion at Mitsubishi UFJ Asset Management Co. in Tokyo.

The MSCI Asia Pacific Index added 2.2 percent to 149.49 as of 1:51 p.m. in Tokyo, extending a two-day, 1.8 percent rally. The benchmark, poised for its highest close since Jan. 15, has rallied 13 percent since hitting a 14-month low on Jan. 22 as concern eased that a U.S. housing slump will drag the world's largest economy into a recession.

Japan's Nikkei 225 Stock Average added 1.7 percent to 14,063.12, set for the highest close since Jan. 11. Benchmarks advanced in all other markets open for trading, with Hong Kong's Hang Seng Index posting the biggest gain of 3.7 percent.

The Standard & Poor's 500 Index added 0.7 percent yesterday, rounding off its biggest three-day advance of the year. U.S. stocks were boosted after International Business Machines Corp., the world's biggest computer-services company, said a $15 billion share buy-back may boost earnings by 5 cents a share this year.

BHP, PetroChina

BHP, the world's largest mining company and Australia's biggest oil producer, rose 2.5 percent to A$39.73, its biggest gain in two weeks. Santos Ltd., Australia's No. 3 oil and gas explorer, jumped 6.9 percent to A$12.63. PetroChina Co., China's largest oil producer, added 4.5 percent to HK$12.10.

``The commodities-related shares are being thrust to the forefront today'' after oil's climb, Hiroichi Nishi, an equities manager at Nikko Cordial Securities Inc., said in an interview with Bloomberg Television.

Crude oil for April delivery rose to as high as $101.43 a barrel on the New York Mercantile Exchange yesterday, and was recently at $101.07. Copper futures added 0.9 percent in New York on speculation demand from emerging markets will erode inventories. Meanwhile, gold climbed to a record in Asia today, while wheat prices rose to a high in Chicago yesterday.

Commodity prices increased after the dollar fell to a record low of $1.50 per euro, boosting the value of alternative assets.

Rio Tinto Group, the world's No. 3 mining company, gained 2.1 percent to A$136.46. Jiangxi Copper Co., China's second- largest producer of the metal, jumped 5.2 percent to HK$18.76.

Higher Profits

Noble Group Ltd., which supplies raw materials from coffee to energy, surged 13 percent to S$2.36 in Singapore, the biggest percentage gain on MSCI's Asian index. Fourth-quarter profit jumped 92 percent as demand and prices increased and it stepped up investments in agriculture and energy.

Marui jumped 9.1 percent to 1,084 yen in Tokyo, set for its largest advance since March 27, 2000. Net income may be as much as 8.5 billion yen ($79 million) this year, helped by a gain from the sale of its fixed assets, the company said.

Standard Chartered surged 8.4 percent to HK$261 in Hong Kong, set for its highest close since Feb. 4. The London-based bank said lending in Asia and the Middle East helped boost second-half profit by 23 percent.

Chinese Banks Rally

Industrial & Commercial Bank of China advanced 4.2 percent to HK$5.45, on course for its highest close since Jan. 10. JPMorgan said the bank, China's largest, is the ``safest exposure to the sector.''

Earnings at Chinese banks this quarter will be ``solid'' on higher interest and fee income, analysts Samuel Chen and Sunil Garg wrote in a report.

China Merchants Bank Co., the nation's sixth-largest, jumped 9.5 percent to HK$27.70 and Bank of Communications Co., part- owned by HSBC Holdings Plc, added 5.3 percent to HK$9.60. Credit Suisse Group raised its ratings for the stocks.

Technology shares advanced. Sony Corp., the world's second- largest maker of consumer electronics, added 2.9 percent to 5,350 yen. Hon Hai Precision Industry Co., the world's largest contract electronics manufacturer, gained 0.8 percent to NT$190.

IBM climbed to a four-month high in New York trading after saying it will earn at least $8.25 a share, following the buyback. The company had previously forecast earnings of at least $8.20.