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Asian stocks rebound from the past days' losses Chinese stocks rebound from the past days' losses
(about 1 hour later)
Asian stocks were higher on Wednesday on a strong Wall Street lead and hopes that Chinese markets will settle after days of volatility. Stocks in mainland China were back in positive territory on Wednesday after drastic losses earlier in the week.
Overnight, the Dow Jones finished up higher, breaking a five-session trend. The benchmark Shanghai Composite was up by 0.8% at 3,691.56 points.
After record losses earlier in the week, China said it would stabilise stocks and hinted at further easing, sending a cue to Wednesday's trade across the region. After the record losses earlier in the week, authorities tried to calm markets promising stabilise stocks while the central bank hinted at further easing.
Japan's Nikkei 225 traded 0.3% up at 20,397.33 points. Investors also took a positive cue from the US overnight where the Dow Jones finished up higher, breaking a five-session trend.
Traders in the country took some positive leads from retail sales in the country, which were 0.9 % up in June compared to the previous year, beating forecasts of 0.5%. Hong Kong's Hang Seng was also higher, 0.5% up to 24,630.64 points.
Japan also will see earnings out later in the day for gaming company Nintendo, electronics giant Panasonic and automaker Nissan. In Japan, retail sales came in 0.9 % up for June compared to the previous year, beating forecasts of 0.5%.
Australia led the region's gains, with the ASX/200 up by 0.7% to 5,625.80 points. But the Nikkei 225 failed to pick up on the positive cues and fell by traded 0.5% to 20,236.93 points.
Mining giants BHP Billiton and Rio Tinto were among the market movers pulling the index higher. Investor sentiment was pulled down by poor earnings reports with both Fanuc and Tokyo Electron cutting their full year forecasts. Shares in both companies fell by 10% in early trade.
In South Korea, the benchmark Kospi index traded 0.5% up at 2,050.22. In Australia, the ASX/200 picked up on the strong lead from Wall Street and the encouraging signs from China. The index moved up by 1.1% to 5,645.50 points.
In South Korea, the benchmark Kospi index traded 0.5% up at 2,050.09.
Investors across the region were also looking ahead at the US Federal Reserve wrapping up a two day meeting later on Wednesday.Investors across the region were also looking ahead at the US Federal Reserve wrapping up a two day meeting later on Wednesday.
Hopes are that there might be signals on the timing of an interest rate raise later in the year.Hopes are that there might be signals on the timing of an interest rate raise later in the year.
Elsewhere in Asia, stocks traded mixed, managing to withstand the downward pull from China.
recovering from losses seen earlier in the day.
Shares in camera maker Canon rose 0.5%. The increase came as a surprise after the firm cut its earnings outlook and reported a 16% fall in quarterly profit on Monday.
Sales have been hit by consumers increasingly using their smartphones rather than compact cameras.
In South Korea, the benchmark Kospi also ended flat at 2,039.08.
Relief for stocks came from Prime Minister Hwang Kyo-Ahn declaring the end of the deadly outbreak of Middle East Respiratory Syndrome (Mers).
Thirty six people died out of the 186 infected by the virus, following the first diagnosis on 20 May.
The outbreak had been a major strain on the country's economy, affecting domestic consumption and tourism. The quarantine of the last suspected patient was lifted on Monday.
Australia's ASX 200 share index closed down 0.2% at 5,580.50.
China is Australia's main market and the dramatic volatility in Chinese stocks as well as the slowing growth indicators are expected to affect investors' confidence.