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Hong Kong - Asian markets rose on Thursday as Greek MPs voted in favour of an austerity-laden bailout package, while the dollar extended gains after Federal Reserve chief Janet Yellen reaffirmed a US interest rate hike by year end.
Volatility returned to Shanghai and Hong Kong as better-than-expected growth data reduced the chances of fresh economy-boosting measures from Beijing, while there were fears a recent rout in mainland markets could resume.
Tokyo gained 0.67% to 20 600.12 with the weaker yen also providing support. Seoul added 0.72% to 2 087.89 and Sydney gained 0.59% to close at 5 669.6.
Shanghai ended 0.46% higher, adding 17.47 points to 3 823.18 while Hong Kong closed up 0.43% to 25 162.78.
The two markets swung throughout the day, having both opened sharply lower in the first few minutes.
Against a backdrop of violence outside parliament, lawmakers in Athens early Thursday voted in favour of the unpopular proposals - including reforming taxes, pensions and labour rules - putting it on the path to a eurozone rescue.
However, while Prime Minister Alexis Tsipras won the day, he suffered a major mutiny in his own party.
Now the agreement must go before the domestic parliaments of some of the other 19 members of the eurozone, with all eyes in particular on EU powerhouse Germany, which is set to vote on Friday.
Only after that can the tough talks to finalise the long-awaited deal, expected to take much of the summer, begin in earnest.
The news pushed the euro higher in early Asian trade, rising to $1.0963 from $1.0947 in New York and ¥135.88 from ¥135.51. However, it retreated to $1.0904 and ¥135.22 in the afternoon.
The dollar also firmed to ¥123.92 from ¥123.79.
READ: Dollar up on Fed chief rate hike comments
The greenback was boosted by Yellen's comments indicating a US rate hike is just around the corner.
In testimony to Congress, Yellen stuck to the position of the Fed policy meeting that a hike would come "at some point this year" if "the economy evolves as we expect".
Her comments came as the Fed's closely watched Beige Book showed the world's number one economy grew in May and June, with all 12 of the bank's districts enjoying expansion.
Most analysts predict a rate rise from record lows either in September or December.
The Dow ended marginally lower, the S&P 500 lost 0.07% and the Nasdaq shed 0.12%.
"Macro themes will not and cannot be removed from the headlines," Evan Lucas, a markets strategist in Melbourne at IG, wrote in an e-mail to clients.
"The fact the grey clouds that are China and Greece have cleared slightly only brings a sharper focus on the biggest macro cloud of 2015 - Fed lift off," he said, according to Bloomberg News.
In Shanghai, shares moved in and out of positive territory, with Wednesday's gross domestic product report unable to settle investors after a month-long plunge wiped 30% off the composite index, amounting to trillions of dollars in valuations. It had surged more than 150% in the year leading up to its June 12 peak.
The sell-off came to an end last week after the government unveiled a series of strict rules to avert a crash.
"A lot of domestic investors are still in a gambling mode," said Yen Chiu, a Hong Kong-based trader at Shenwan Hongyuan Group.
"That's how the market is very volatile. We are quite conservative at the moment and the shrinking volume confirms trading is becoming more cautious overall."
Oil prices were mixed after sinking Wednesday on fears about the impact of more Iranian crude hitting markets after its landmark nuclear deal.
US benchmark West Texas Intermediate for August delivery rose 13 cents to $51.54 a barrel after tumbling $1.63 Wednesday. Brent eased 5c to $57.00. The contract, which expires on Thursday, had fallen $1.65 the previous day.
Gold fetched $1 145.70 compared with $1 154.88 late on Wednesday.
In other markets:
- Taipei ended 0.13% lower, dipping 11.99 points to 9 042.21.
Taiwan Semiconductor Manufacturing fell 1.44% to Tw$136.5 while Hon Hai Precision Industry was 0.30% lower at Tw$96.0.
- Wellington rose 0.31% to 5 824.16.
Contact Energy was up 1.78% at NZ$5.15 and Chorus lifted 0.89% to NZ$2.825.
- Manila closed 0.77% up at 7 617.13.
SM Prime Holdings added 2.44% to 21 pesos, Philippine Long Distance Telephone gained 2.59% to 2 936 pesos and Ayala land was unchanged at 38.30 pesos.
