Asian Stocks Fluctuate as Chipmakers Climb on Intel Forecast

Jan. 15 (Bloomberg) -- Asian stocks fluctuated, as a better-than-estimated revenue prediction from Intel Corp. countered declines by energy shares after oil prices fell.

Elpida Memory Inc., Japan’s biggest computer-memory chipmaker, climbed 1 percent as Goldman Sachs Group Inc. recommended buying the shares. Daewoo Shipbuilding & Marine Engineering Co. surged 8 percent in Seoul after Posco’s chief executive officer said he would consider a bid for the shipbuilder. Santos Ltd., Australia’s No.3 oil and gas producer, lost 1.4 percent in Sydney, as Bank of America Corp.’s Merrill Lynch downgraded the stock.

The MSCI Asia Pacific Index was little changed at 126.27 as of 11:05 a.m. in Tokyo, having swung between gains and losses at least six times today. The measure climbed 1.6 percent this week, its fourth weekly advance. The gauge has surged 52 percent in the past year amid signs of recovery in the region’s economies, led by China.

“The outlook for corporate earnings will likely increase after the earnings at Intel,” said Kazuhiro Takahashi, a general manager at Daiwa Securities SMBC Co. in Tokyo. “Intel’s earnings should spur buying of semiconductor-related stocks.”

Japan’s Nikkei 225 Stock Average lost 0.2 percent, while South Korea’s Kospi Index climbed 0.8 percent. Australia’s S&P/ASX 200 Index sank 0.7 percent.

Futures on the U.S. Standard & Poor’s 500 Index fell 0.2 percent. The gauge added 0.2 percent yesterday as technology shares climbed before Intel reported earnings and the government reported a better-than-estimated increase in business inventories.

Biggest Chipmaker

Intel, the world’s biggest chipmaker, predicted higher first-quarter revenue than analysts estimated as demand for notebook computers rebounded. Fourth-quarter net income increased more than ninefold to $2.28 billion, or 40 cents a share, the company said in a statement.

Elpida climbed 1 percent to 1,830 yen after Goldman raised its rating on company to “buy” from “neutral.”

Daewoo Shipbuilding & Marine Engineering Co. surged 8 percent to 20,900 won. Posco CEO Chung Joon Yang said yesterday at an investor relations session in Seoul that he would consider a bid for the shipbuilder.

Santos dropped 1.4 percent to A$13.76. The stock was cut to “neutral” from “buy” by analysts at Merrill Lynch, who cited higher costs and the risk of “a material capital raising.” Active crude-oil futures fell 0.5 percent in after-hours trading to $78.97 a barrel, taking a five-day decline to 4.6 percent.

The MSCI Asia Pacific Index has climbed 79 percent from its lowest level in more than five years on March 9, outpacing gains of 70 percent by the S&P 500 and 64 percent for Europe’s Dow Jones Stoxx 600 Index. Stocks in the MSCI gauge are valued at 20 times estimated earnings, compared with 15 times for the S&P and 13 times for the Stoxx 600.