Asia: Exporters benefit from weaker yen

Asian stocks rose to a fresh new high Friday as the yen weakened on speculation the Bank of Japan will increase stimulus efforts.

Japan's Nikkei average soared 0.7% to 10,395.18 on the last trading day of the year - its biggest peak since March 10th 2011.

Investments were backed by a fall in the yen which was 86.64 to the dollar Friday - its lowest point in two years. It made for cheaper Japanese exports and increases in earnings of exporters abroad.

The results come off the back of Prime Minister Shinzo Abe's call for the Bank of Japan to set a 2% inflation target and to ease policy to beat deflation.

Abe, who this month won in a parliamentary election, has promised to enforce measures for a weaker local currency to revive the flagging economy.

Exporters in Tokyo continued to progress by week's end amid a lower yen with Sharp Corp. up 1.7% and Nissan Motor 2.0% higher.

In China, the Shanghai Composite Index climbed 1.24%, on the back of financial reforms bolstered by banks. Bank of China added 0.3% and Bank of Communications gained 0.6%.

In Hong Kong, the Hang Seng Index was up 0.21%.

The Asia Dow rose 0.63% while Singapore saw a 0.25% jump and Sansex reported a 0.64% rise.

RD