SINGAPORE: Asian stock markets rose slightly on Friday, Nov 19 and the'' euro held firm after a strong Wall Street performance and moves towards heading off a potential Irish debt crisis.
The overnight momentum carried over into Friday and at 0130 GMT the MSCI All-Country World equity index was up nearly half a percent at 464.05 after hitting a one-month low earlier in the week.
Shares in Shanghai and South Korea rose and Japan's Nikkei average climbed more than 1 percent to a five-month high above 10,000, propelled by buying by overseas hedge funds and a fall in the yen, which makes exporters look more attractive.
Blue-chip shares rose broadly. Banking shares were likely buoyed by short-covering and fresh buying by a U.S. brokerage on the view that they are undervalued, one market player said.
The charts also point to stronger upside potential after the Nikkei on Thursday broke through solid resistance at its 200-day moving average for the first time since May. The next target looms around its June high of 10,251.90.
"Many hedge funds close books in November and now is a time when short-covering tends to emerge. Solid U.S. economic data and GM's listing yesterday are also lending help," said Hiroaki Kuramochi, chief equity marketing officer at Tokai Tokyo Securities.
The Nikkei rose earlier as much as 1.2 percent to 10,130.23, its highest level since June 22.
The euro edged up 0.11 percent to $1.3627, supported by rising expectations of a financial rescue plan for Ireland. [ID:nLDE6AH0HV]
The dollar held steady against a basket of currencies and against the yen. .
News that Ireland may avert a debt crisis weighed on bonds. The benchmark 10-year U.S. Treasury note fell 5/32 in price to lift yields to 2.90 percent.
U.S. crude oil futures gained nearly 50 cents to $82.11 per barrel, retracing part of a four-session drop, while spot gold was up $6.20 to $1,359.65 an ounce.
''
GM WOWS WALL STREET; IRISH EYES SMILING
Global stocks rose on Thursday as a blockbuster General Motors Co stock offering dovetailed with upbeat U.S. economic data and easing Irish debt tensions.
GM's return to the market less than 18 months after it emerged from bankruptcy, raised $20.1 billion, the largest U.S. initial public offering. [ID:nN18285952]
Manufacturing activity in the U.S. Mid-Atlantic region grew much more than expected, a survey from the Philadelphia Federal Reserve Bank showed. An improvement in weekly initial claims for U.S. jobless benefits helped boost the dollar. [ID:nN18248194]
The U.S. data helped erode some of the euro's gains as uncertainty about the Irish crisis ebbed after Dublin agreed to work with a European Union-International Monetary Fund mission on steps to shore up its battered banking sector. [ID:nLDE6AH0HV] [ID:nLDE68T0MG]
But analysts are skeptical any rebound in risk appetite can be sustained when fiscal problems are still severe in Ireland and other peripheral euro-zone countries such as Portugal and many investors are inclined to cut risk exposure before the year-end.
"It's absolutely vital for the authorities to take pro-active steps in order to try to resolve this crisis as soon as possible. The market should see some relief in relation to that," said Henk Potts, equity strategist at Barclays Wealth.
The Dow Jones industrial average rose 1.57 percent on Thursday. The Standard & Poor's 500 Index gained 1.54 percent and the Nasdaq Composite Index added 1.55 percent.
The pan-European FTSEurofirst 300 index of top shares climbed 1.43 percent. - Reuters
The overnight momentum carried over into Friday and at 0130 GMT the MSCI All-Country World equity index was up nearly half a percent at 464.05 after hitting a one-month low earlier in the week.
Shares in Shanghai and South Korea rose and Japan's Nikkei average climbed more than 1 percent to a five-month high above 10,000, propelled by buying by overseas hedge funds and a fall in the yen, which makes exporters look more attractive.
Blue-chip shares rose broadly. Banking shares were likely buoyed by short-covering and fresh buying by a U.S. brokerage on the view that they are undervalued, one market player said.
The charts also point to stronger upside potential after the Nikkei on Thursday broke through solid resistance at its 200-day moving average for the first time since May. The next target looms around its June high of 10,251.90.
"Many hedge funds close books in November and now is a time when short-covering tends to emerge. Solid U.S. economic data and GM's listing yesterday are also lending help," said Hiroaki Kuramochi, chief equity marketing officer at Tokai Tokyo Securities.
The Nikkei rose earlier as much as 1.2 percent to 10,130.23, its highest level since June 22.
The euro edged up 0.11 percent to $1.3627, supported by rising expectations of a financial rescue plan for Ireland. [ID:nLDE6AH0HV]
The dollar held steady against a basket of currencies and against the yen. .
News that Ireland may avert a debt crisis weighed on bonds. The benchmark 10-year U.S. Treasury note fell 5/32 in price to lift yields to 2.90 percent.
U.S. crude oil futures
''
GM WOWS WALL STREET; IRISH EYES SMILING
Global stocks rose on Thursday as a blockbuster General Motors Co stock offering dovetailed with upbeat U.S. economic data and easing Irish debt tensions.
GM's return to the market less than 18 months after it emerged from bankruptcy, raised $20.1 billion, the largest U.S. initial public offering. [ID:nN18285952]
Manufacturing activity in the U.S. Mid-Atlantic region grew much more than expected, a survey from the Philadelphia Federal Reserve Bank showed. An improvement in weekly initial claims for U.S. jobless benefits helped boost the dollar. [ID:nN18248194]
The U.S. data helped erode some of the euro's gains as uncertainty about the Irish crisis ebbed after Dublin agreed to work with a European Union-International Monetary Fund mission on steps to shore up its battered banking sector. [ID:nLDE6AH0HV] [ID:nLDE68T0MG]
But analysts are skeptical any rebound in risk appetite can be sustained when fiscal problems are still severe in Ireland and other peripheral euro-zone countries such as Portugal and many investors are inclined to cut risk exposure before the year-end.
"It's absolutely vital for the authorities to take pro-active steps in order to try to resolve this crisis as soon as possible. The market should see some relief in relation to that," said Henk Potts, equity strategist at Barclays Wealth.
The Dow Jones industrial average rose 1.57 percent on Thursday. The Standard & Poor's 500 Index gained 1.54 percent and the Nasdaq Composite Index added 1.55 percent.
The pan-European FTSEurofirst 300 index of top shares climbed 1.43 percent. - Reuters
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