CANBERA (dpa-AFX) - Asian stocks swung between gains and losses before ending mostly higher on Friday as the Fed's decision to provide some policy certainty outweighed concerns surrounding Greece's debt talks. The markets in China and Taiwan remain closed for the Lunar New Year holidays. Former U.S. Federal Reserve Governor Kevin Warsh said the dovish stance of the central bank and recent policy activism may adversely affect the U.S. economic expansion in the long run. The Fed's latest pledge to keep interest rates near zero through 2014 isn't seen as a 'guarantee' that 'reacquaints consumers with bad habits, ' Warsh reportedly said in a speech in Stanford, California. Tokyo stocks erased initial gains as weak earnings results clouded the earnings outlook for Japanese companies. The benchmark Nikkei eased 0.1 percent while the broader Topix index shed half a percent. NEC Corp. plunged 7.1 percent after the electronics giant forecast its third annual loss in four years and unveiled plans to layoff nearly 10 percent of its workforce. Nintendo tumbled 4.1 percent after the videogame maker reported a sharp drop in quarterly earnings and more than tripled its full-year loss forecast. Nippon Steel fell 3.5 percent after the steelmaker said it swung to a loss in the third quarter, weighed down by a hefty special loss related to stagnant stock market conditions and a marginal growth in revenue. Elpida Memory slumped 7.1 percent on a report that it will likely post an operating loss of 90 billion yen for the April to December period. Commodity-related stocks advanced, with Inpex, Itochu and Marubeni gaining around 3 percent each after commodities rallied overnight in the wake of Fed's pledge to keep interest rates near zero at least until the middle of 2013. Australian shares posted modest gains, as traders returning from a holiday the day before lapped up miners, encouraged by strong gains in commodity prices overnight. The benchmark S&P/ASX 200 closed 0.4 percent higher while the broader All Ordinaries index advanced half a percent. Among the major miners, BHP Billiton rose 0.6 percent, Rio Tinto gained 2.1 percent, Newcrest rallied 3.8 percent and Fortescue soared 4.1 percent. The big four banks closed mixed, with ANZ and Commonwealth rising around 0.3 percent each, while NAB shed half a percent and Westpac edged down marginally. Woodside Petroleum, the nation's biggest oil and gas producer, advanced 1.5 percent on reports it is considering selling part of it stake in the $40 billion Browse liquefied natural gas project in Western Australia. Retailers Wesfarmer and Woolworths ended down between 0.2 percent and 0.6 percent. South Korea's Kospi averaged finished 0.4 percent higher, with caution ahead of a busy earnings season limiting further upside. Foreign funds extended their buying streak for the 12th consecutive session despite downbeat data which showed the South Korean economy grew at its slowest pace in two years in the fourth quarter of 2011, as Europe's lingering debt problems damped demand for exports from the region. LG Electronics jumped 5.2 percent after reports said its Optimus LTE phone has racked up more than 1 million unit sales during its first 100 days of release. Samsung Electronics rose 1.1 percent to a record high after the company reported a record operating profit of 5.3 trillion won in the fourth quarter, helped by strong growth in smartphone sales. Brokerages gained ground, with Woori Investment and Samsung Securities rising 2-6 percent, as the Fed's extension of the timeframe of its ultra-loose monetary policy bolstered appetite for riskier assets. Hyundai Motor, the nation's largest automaker and exporter, tumbled 3.5 percent after reporting fourth-quarter profit that missed analysts' estimates. Shares of its affiliate Kia Motor ended down 2.8 percent. New Zealand shares rose for a third consecutive session as the prospects for lower interest rates in the U.S. for another two years helped improve risk appetite. The benchmark NZX-50 index gained 0.4 percent. Construction firm Fletcher Building extended recent gains, adding 2.2 percent, while Rakon, which makes crystal timing devices used in technology, soared 9.7 percent to its highest level since November 14. Dual-listed Australian financial services firms were in the limelight, with AMP and and Australia & New Zealand Banking rising 1-2 percent. Whiteware manufacturer Fisher & Paykel Appliances rallied 4.4 percent and gold miner OceanaGold gained 3.3 percent, but carpet maker Cavalier slumped 6 percent, tap maker Methven fell around 2 percent and Telecom, the nation's biggest phone company, lost 1.6 percent. Elsewhere, India's Sensex was last trading up a percent, Hong Kong's Hang Seng rose 0.3 percent, Indonesia's Jakarta Composite edged up marginally and Singapore's Straits Tims was up 0.8 percent. U.S. stocks ended lower overnight, as a report showing an unexpected drop in new home sales and a rise in initial jobless claims last week overshadowed upbeat data on durable goods orders in December. The Dow slipped 0.2 percent, the Nasdaq lost half a percent and the S&P 500 shed 0.6 percent.
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