Asian Stocks Rise, Led by CLP and Nippon Steel; Toshiba Gains (Chen Shiyin and Makiko Suzuki)

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Asian stocks rose, led by steelmakers and power producers as investors favor companies with solid earnings growth and generous dividend policies. CLP Holdings Ltd. and Nippon Steel Corp. advanced.

By Chen Shiyin and Makiko Suzuki

March 8 (Bloomberg) -- Asian stocks rose, led by steelmakers and power producers as investors favor companies with solid earnings growth and generous dividend policies. CLP Holdings Ltd. and Nippon Steel Corp. advanced.

``Investors can buy utility and steelmaker stocks without much worry on the back of stable earnings and the prospect of better returns to shareholders,'' said Junichi Misawa, who oversees $655 million at STB Asset Management Co. in Tokyo.

Woori Finance Holdings Co., South Korea's third-largest financial services company, climbed after announcing a 50 percent dividend increase. Technology shares gained after Goldman Sachs Group Inc. raised its rating on Toshiba Corp. and Tokyo Electron Ltd. and Samsung Electronics Co. announced plans to build new factories.

The Morgan Stanley Capital International Asia-Pacific Index, a U.S.-dollar denominated gauge of more than 1,000 stocks, added 1.1 percent to 142.32 at 2:10 p.m. in Tokyo. All 10 industry groups included in the benchmark advanced, with utilities such as CLP posting the biggest gains.

PetroChina Co. paced an advance by energy shares after crude oil prices jumped by the most in two weeks.

Japan's Nikkei 225 Stock Average added 1.4 percent, while the broader Topix index rose 1.5 percent. Australia, the Philippines and Sri Lanka were the region's only markets to decline.

U.S. stocks slid yesterday after the nation's No. 2 homebuilder said a year-long housing slump will continue in 2007 and the Federal Reserve cited slowing growth in several local economies. The Standard & Poor's 500 Index fell 0.3 percent, while the Dow Jones Industrial Average lost 0.1 percent.