Asian markets higher on Wall Street, Europe lead

Asian markets mostly rose on Wednesday following a lead from Wall Street and Europe and amid rising hopes that central banks are poised to act to boost economic growth.

But the euro weakened before a European Central Bank meeting Thursday as traders waited to see if the bank would back a deal to help the eurozone, and oil slipped back after rising in the United States on Iranian sabre-rattling.

Tokyo closed up 0.41 percent, or 37.58 points, at 9,104.17, its highest finish in about two months, while Sydney was up 1.09 percent, or 45.0 points, to end at 4,172.2, led by mining and resources stocks.

Seoul finished 0.35 percent, or 6.63 points, higher at 1,874.45.

Hong Kong ended 0.13 percent, or 25.78 points, lower to closeat 19,709.75, with the fall driven by profit-taking after recent gains.

Shanghai was flat, edging down 0.08 percent, or 1.87 points, to close at 2,227.32 as traders took to the sidelines before next week's release of key economic data for June.

Investors are pinning their hopes on a new round of stimulus measures, known as quantitative easing, from the US Federal Reserve, after weak manufacturing data this week added to concerns about the world's biggest economy.

They are looking to Friday when the US government releases its highly anticipated June job growth and unemployment numbers, with the data expected to encourage the Fed to implement more policy easing, dealers said.

Eurozone data, which showed unemployment at a euro-era high of 11.1 percent and weak manufacturing activity, has raised hopes that the ECB will cut its rate from the current record low of 1.0 percent to stem the bloc's debt crisis.

"Macro factors are the market movers right now, with everyone expecting more rate cuts and currency printing," said CLSA equity strategist Nicholas Smith.

Daniel Brdanovic, HSBC New Zealand chief manager, told Dow Jones Newswires that markets were expecting the ECB to trim rates but the bank's statement would also be closely watched.

"Markets will be looking to see whether the ECB comes out to support what the European leaders came out with last week," he said.

European leaders agreed at a key summit in Brussels last week to use emergency funds to recapitalise ailing banks directly. They also agreed to contribute $150 billion to boost growth.

US stocks were boosted on Tuesday by a report showing strong factory orders for May and robust June sales from leading American automakers.

In a trading session that ended early before the July 4 Independence Day holiday, the Dow Jones Industrial Average was up 0.56 percent, the S&P added 0.62 percent, while the tech-rich Nasdaq put on 0.84 percent.

In early European trade Wednesday, the euro bought $1.2582 and 100.41 yen, against $1.2607 and 100.64 yen in US trade Tuesday. The dollar stood at 79.78 yen, from 79.83 yen in New York.

Oil prices slipped following a strong rally in the United States after Iran test-fired missiles and Iranian lawmakers backed a draft bill calling for the key Strait of Hormuz to be closed to oil tankers in retaliation for an EU oil embargo.

In afternoon Asian trade, New York's main contract, light sweet crude for delivery in August fell 55 cents to $87.11 a barrel and Brent North Sea crude for August delivery shed 61 cents to $100.07.

Gold was at $1,616.50 an ounce at 1055 GMT, compared with $1,609.00 an ounce late Tuesday.

In other markets:

-- Taipei edged up 0.06 percent, or 4.23 points, to 7,422.59.

Hon Hai Precision rose 1.66 percent to Tw$92.0 while smartphone maker HTC was 0.51 percent higher at Tw$397.0.

-- Wellington was up 1.13 percent, or 38.48 points, to close at 3,483.12.

Telecom Corp. was up 2.7 percent at NZ$2.495, Fletcher Building rose 1.0 percent to NZ$6.20 and Chorus gained 0.2 percent to NZ$3.20.

-- Manila was down 0.20 percent, or 10.98 points, at 5,354.72.

Philippine Long Distance Telephone fell 0.36 percent to 2,750 pesos and Metropolitan Bank shed 1.59 percent to 95.90 pesos.

-- Singapore was up 0.12 percent, or 3.44 points, at 2,948.77.

Singapore Telecommunications gained 0.91 percent to Sg$3.34 while Wilmar International fell 1.34 percent to Sg$3.69.

-- Jakarta rose 0.64 percent, or 26.02 points, to 4,075.91.

Aneka Tambang rose 3.65 percent to 1,420 rupiah, Astra Agro Lestari gained 5.69 percent to 22,300 rupiah and Indofood Sukses Makmur rose 1.52 percent to 5,000 rupiah.

-- Bangkok fell 0.33 percent, or 3.92 points, to 1,194.15.

Banpu was unchanged at 468.00 baht, while PTT gained 0.90 percent to 336.00 baht.

-- Kuala Lumpur was up 0.37 percent, or 6.01 points, at 1,613.75.

Kuala Lumpur Kepong gained 3.0 percent to 23.90 ringgit, AirAsia added 2.8 percent to 3.70 ringgit while YTL Corp lost 1.0 percent to 2.00 ringgit.

-- Mumbai rose 0.21 percent, or 37.10 points, to 17,462.81.

Private steel maker Jindal Steel rose 3.37 percent to 446.3 rupees while Sterlite Industries, the local arm of global resources group Vedanta, gained 5.27 percent to 110.9.

Loading...

Editor’s note:Yahoo Philippines encourages responsible comments that add dimension to the discussion. No bashing or hate speech, please. You can express your opinion without slamming others or making derogatory remarks.

  • China ignores global outcry vs reclamation
    China ignores global outcry vs reclamation

    On Wednesday, G-7 foreign ministers issued a Declaration on Maritime Security expressing alarm over “unilateral actions, such as large scale land reclamation, which change the status quo and increase tensions” in the region. In their communiqué, which did not specifically mention China, the ministers expressed belief that reclamation activities were meant to “change the status quo” in the West Philippine Sea and South China Sea, through which 40 percent of global trade passes. …

  • Project NOAH exec receives recognition
    Project NOAH exec receives recognition

    Project NOAH executive director and University of the Philippines professor Mahar Lagmay recently received recognition from the European Geosciences Union (EGU) for his work in disaster risk reduction and mitigation in the Philippines. …

  • Nightclub ban for US troops
    Nightclub ban for US troops

    The US Pacific Command has banned its troops in the Philippines from bars and nightclubs, a spokesman said yesterday, with the trial under way of a US Marine accused of murdering a transgender Filipino he met in a bar. Thousands of American and Filipino soldiers will kick off tomorrow the 10-day annual military exercises, according to Capt. Alex Lim, a spokesman for the US forces, but there will be strict controls on their free time. Lim would not say why the restrictions were imposed but …

  • US-Phl war games to start under China’s shadow
    US-Phl war games to start under China’s shadow

    Thousands of American and Filipino soldiers will kick off tomorrow expanded wargames, showcasing a deepening  defense alliance as alarm bells ring over China. The 10-day exercises in the Philippines are an annual affair between the longtime allies, but this time they will involve double the number of soldiers as last year in a sign of their expanding military partnership. The Philippines is seeking more US military and diplomatic support to fend off China’s increasing forcefulness in its bid …

  • Palace defends legal tack in sea row
    Palace defends legal tack in sea row

    There is nothing weak about taking the legal and diplomatic approach to push for the country’s claims in the disputed West Philippine Sea, Malacañang maintained yesterday. On Friday, Bayan Muna Rep. Neri Colmenares led a rally in front of the Chinese consulate in Makati City to protest China’s massive reclamation activities in the Spratly island group to fortify its presence in the disputed waters. Colmenares also criticized the Philippine government for supposedly not doing enough to defend …

  • Veloso sons urge authorities to save mother from death
    Veloso sons urge authorities to save mother from death

    The sons of Mary Jane Veloso, who is facing execution in Indonesia for drug smuggling, yesterday appealed to government officials to do everything to spare their mother from death. “We love you,” Mark Daniel, 12, said when asked for a message for his mother following a press conference at the University of the Philippines in Diliman, Quezon City. Mark Daniel, an incoming Grade 8 student, reiterated his appeal to those in power to help save his mother from death. His younger brother, …

  • US-Philippines wargames to start under China's shadow
    US-Philippines wargames to start under China's shadow

    Thousands of American and Filipino soldiers on Monday will kick off expanded wargames, showcasing a deepening defence alliance as alarm bells ring over China. The 10-day exercises in the Philippines are an annual affair between the longtime allies, but this time they will involve double the number of soldiers as last year in a sign of their expanding military partnership. The Philippines is seeking more US military and diplomatic support to fend off China's increasing forcefulness in its bid …

  • Bar ban for US troops in Philippines amid murder trial
    Bar ban for US troops in Philippines amid murder trial

    The US Pacific Command has banned its troops in the Philippines from bars and nightclubs, a spokesman said Saturday, with the trial under way of a US Marine accused of murdering a transgender Filipina he met in a bar. Thousands of American and Filipino soldiers will on Monday kick off 10-day annual military excercises, according to Captain Alex Lim, a spokesman for the US forces, but there will be strict controls on their free time. Lim would not say why the restrictions were imposed but …

POLL

Should Aquino be held accountable over the Mamasapano operations?

Loading...
Poll Choice Options