Nikkei: 10,097.72 (+47.71) Hang Seng: 22,572.08 (+278.79) Shanghai Comp: 2,703.03 (+14.28)THE NIKKEI stock average rose yesterday as robust quarterly earnings and higher profit forecasts from the likes of digital camera maker Canon helped offset a yen that has strengthened on US debt woes. Worries about the deadlock in talks to raise the US debt ceiling made investors nervous.

Canon rose 2.6 per cent to 3,885 yen after it posted better than expected quarterly profits. Kao Corp surged 4.7 per cent to 2,262 yen after the household goods maker raised its full-year outlook.

Utilities underperformed on reports that fuel costs at Japan’s five largest electric power companies are expected to surge this fiscal year as they rely on fossil fuel-fired plants to make up for capacity lost from offline nuclear reactors. Chubu Electric dropped 1.1 per cent to 1,420 yen and Tokyo Electric Power shed 4.3 per cent to 512 yen.

Hong Kong shares rebounded as investors bought into blue chip stocks ahead of the earnings season and in month-end window dressing. Heavyweights China Mobile and Hutchison Whampoa saw gains on relatively health volumes. China Mobile rose 1.8 per cent and Hutch shares closed up 0.2 per cent. – (Reuters)