MOST Asian stocks rose yesterday after Konica Minolta Holdings Inc forecast higher earnings and Westpac Banking Corp made a takeover approach for St George Bank Ltd.

Konica Minolta, the world's No. 2 maker of film used in liquid-crystal displays, surged the most in seven years in Tokyo trading after the company said profit will climb as rivals forecast slower growth. Taiwan Semiconductor Manufacturing Co advanced after sales rose. National Australia Bank Ltd, the country's largest, gained in Sydney after Westpac's offer raised expectations of more acquisitions in the industry.

"Some pockets of technology demand will remain strong," Arjuna Mahendran, Singapore-based head of investment strategy at HSBC Private Bank, told Bloomberg News.

"Demand for exports within the emerging markets is fast surpassing that of the US so companies won't be as badly affected as before."

The MSCI Asia Pacific Index was little changed at 148.93 in Tokyo, after trading between a 0.4-percent decline and a 0.2-percent gain. About four stocks climbed for every three that retreated among the benchmark's 1,145 constituents.

The Nikkei 225 Stock Average added 0.6 percent to 13,743.36. Indexes in Asian markets open for trading advanced, except for Thailand. South Korea and Hong Kong were shut for holidays.

Toray Industries Inc, Japan's largest maker of synthetic fibers, and Mitsubishi Gas Chemical Co, the fifth-largest chemical producer by market value, slumped after saying profit will drop this year.

In the US, Standard & Poor's 500 Index futures expiring in June rose 0.4 percent recently. The S&P closed lower last Friday, led by financial shares.

Konica surged 12 percent to 1,672 yen, the biggest rally since March 2001, after saying net income will increase 1.7 percent in the year ending March 2009 as revenue gains.

Taiwan Semiconductor rallied 2 percent to NT$67.60 (US$2.21) in Taipei.