CANBERA (dpa-AFX) - Asian stocks rose on Friday after a Bloomberg report cited unidentified sources saying that the Trump administration could delay tariffs on Mexican imports.
Investors also looked ahead to the release of the U.S. jobs data for May to be released later in the day for further clues on the prospects for a near-term interest rate cut by the Federal Reserve.
The report is expected to show employment increased by 185,000 jobs in May after surging up by 263,000 jobs in April. The unemployment rate is expected to hold at 3.6 percent.
Following Wednesday's weaker-than-expected private sector jobs data, the jobs report due later in the day could have a notable impact on the perceived prospects for a near-term interest rate cut by the Federal Reserve.
Japanese shares ended solidly higher as investors awaited the outcome of the U.S.-Mexican tariff deal as well as the release of latest U.S. jobs report for May.
Investors shrugged off a report showing that the average of household spending in Japan rose an annual 1.3 percent in April, missing expectations for an increase of 2.7 percent and down from 2.1 percent in March.
The Nikkei average rose 110.67 points or 0.53 percent to 20,884.71 while the broader Topix index ended 0.49 percent higher at 1,532.39.
Chip-related stocks led the surge, with Advantest climbing 5.1 percent and Tokyo Electron rising 2.8 percent. Hitachi High-Technologies jumped 14.7 percent on a Nikkei report that parent Hitachi is considering turning the company into a 100 percent subsidiary.
Australian markets extended gains for the fourth straight session as investors lapped of shares of companies offering high dividend yields. The benchmark S&P/ASX 200 climbed 60.90 points or 0.95 percent to 6,443.90 while the broader All Ordinaries index ended up 58.80 points or 0.91 percent at 6,525.20.
The big four banks rose between 0.4 percent and 0.8 percent on hopes of more policy easing as the Sino-U.S. trade war raises global recession risks. Mining heavyweights BHP and Rio Tinto gained 1-2 percent.
Energy stocks such as Oil Search, Woodside Petroleum and Santos gained 1-2 percent as oil extended overnight gains amid signs that OPEC and allies may extend crude supply cuts.
Bulk grains handler GrainCorp soared 6 percent after it secured a ten-year deal with a global insurer to reduce cash flow volatility linked to eastern Australian grain production during droughts.
On the data front, Australia's lending commitments to households rose 0.6 percent in April, official data showed. That followed a 3.3 percent fall in March.
Separately, the construction sector in Australia continued to contract in May, and at an accelerated rate, the latest survey from the Australian Industry Group revealed with a Performance of Construction Index score of 40.4.
New Zealand shares rose notably, with the benchmark S&P/NZX 50 index ending up 60.82 points or 0.61 percent at 10.047.82. Consumer-staple stocks led the gainers, with heavyweight A2 Milk rising 0.8 percent and Synlait Milk rallying as much as 4 percent.
The overall volume of building in New Zealand climbed a seasonally adjusted 6.2 percent sequentially in the first three months of 2019, Statistics New Zealand said in a report. That beat forecasts for an increase of 1.1 percent and was up sharply from the upwardly revised 3.4 percent gain in the three months prior.
Markets in Taiwan, China and Hong Kong were closed for the Dragon Boat Festival, while Indonesia remains shuttered for Eid-ul-Fitr.
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