">Forum Views ()
">Forum Replies ()
Read more with google mobile :
RPT-GLOBAL MARKETS-Asia stocks up for 5th day on China rate cut
Navigation
Primary Navigation
Home
Singapore
Asia Pacific
World
Business
Entertainment
Sports
Technology
Top Stories
Most Popular
Secondary Navigation
Australia
China
India
Indonesia
Japan
Malaysia
Philippines
Thailand
Vietnam
Search
Search:
RPT-GLOBAL MARKETS-Asia stocks up for 5th day on China rate cut
Reuters - Thursday, November 27
* Bank stocks rally for second day, Japan tech sector climbs
* Political risks flare up in India, Thailand
* Oil slips below $54, with demand uncertain
By Kevin Plumberg
HONG KONG, Nov 27 - Asia stocks rose for a fifth day on Thursday, helped by hopes that policymakers' efforts will ultimately prevail after a surprise and aggressive rate cut from China, though U.S. data ominously reflected a deep recession.
Investor sentiment also improved after U.S. stocks chalked up a four-day winning streak, their longest run since May, as shares in General Motors Corp <GM.N> and Ford Motor Co <F.N> surged on expectations that Washington will bail out the car industry.
While investors cheered China's policy moves, views on India, emerging Asia's other titan, darkened after militants killed at least 86 peple in the financial capital Mumbai. India's stock markets were shut for the day following the attacks.
Oil prices shrugged off the rise in Asian equities and fell more than $1 near $53 a barrel as investors shifted their focus back to distressed demand, after U.S. government data showed a sharp buildup in crude stocks.
Two different camps of investors were emerging as the end of a wild, volatile year for markets approaches. One group believes global equity prices have already discounted a global recession and now there is value to be found in some beaten down sectors, like financials and consumer goods companies.
The other pack thinks the boost from trillions of dollars of government stimulus and aggressive central bank moves -- like China's surprising 1.08 percentage point cut in interest rates -- will help down the line but the near-term drag from shrinking economies in Europe, Japan and the United States is inescapable.
"China's rate cuts only help to some extent for the Asian risk environment because the key ingredient that's driving the gloomy outlook is actual demand, especially from advanced economies," said Suan Teck Kin, an economist with United Overseas Bank in Singapore.
"These would help spur some investment and spending activities and support the fiscal initiatives but the main driver would still be from actual spending."
Stocks in the Asia-Pacific region outside of Japan were up 2.7 percent, set for a fifth straight day of gains, according to an MSCI index <.MIAPJ0000PUS>. Still the index is on track for a seventh month of declines, down about 9 percent in November.
Hong Kong's Hang Seng index <.HSI> rose 2.9 percent, while Shanghai's composite index <.SSEC> rose 4.7 percent.
Bank stocks benefited from a drop in reserve requirements, with shares of China's biggest bank, Industrial and Commercial Bank of China Ltd <1398.HK><601398.SS>, up 4 percent.
In Japan, the Nikkei share average <.N225> climbed 2.4 percent, supported by a rally in the technology sector, which globally has been a hard-hit because of its dependence of business and consumer spending.
U.S. markets were closed on Thursday for a public holiday, but investors would undoubtedly be on the lookout for retail sales figures for the day after Thanksgiving on Friday. That is traditionally the busiest time for retailers but desultory economic conditions may encourage consumers to temper spending.
POLITICAL RISKS BUILD
The last few days have seen a buildup in political risks in Asia, especially after the attacks in India and anti-government protestors in Thailand blockaded an airport in Bangkok.
Thai stocks <.SETI> were down 1.6 percent as protests in Bangkok threatened to escalate into widespread civil unrest after the country's prime minister refused to step down. [ID:nBKK345814]
The cost of protection against sovereign debt default in Thailand and indications of heightened aversion to risk rose in India, adding to uncertainty when investors crave for stability with focus still on the economic impact of the financial crisis.
"Clearly, it will be negative for the sentiment towards India at this point of time, the time when the world is already looking to be highly uncertain in terms of its growth prospects," said Joseph Tan, Asia chief economist with Credit Suisse in Singapore, referring to the attacks in Mumbai.
"This will be negative for the rupee versus the dollar, but again I want to stress that the impact will be short-lived."
The U.S. dollar steadied against the euro after rising on Wednesday on a string of weak U.S. economic data that accelerated safe-haven flows into the world's foremost reserve currency.
U.S. consumer spending in October posted its biggest drop in more than seven years, and consumer confidence fell to a 28-year low in November, further darkening the economic outlook. [ID:nN26338126]
The euro rose 0.1 percent to $1.2900 <EUR=>, after falling as low as $1.2819 on Wednesday, partly on pessimistic views about the impact of a 200 billion euro European stimulus plan.
The dollar fell 0.3 percent to 95.48 yen <JPY=>, having rebounded from Wednesday's low of 94.60 yen.
U.S. crude futures fell towards $53 a barrel on Thursday, as investors fretted over falling oil demand, erasing some of the previous day's sharp gains. (Additional reporting by Eric Burroughs; Editing by Dhara Ranasinghe)
Email Story
IM Story
Printable View
Blog This
Recommend this article
Average (0 votes)
Sign in to recommend this article »
Most Recommended Stories »
Related Articles: Asia Pacific
Global condemnation of Mumbai attacksAFP - 13 minutes ago
Indonesia's top Islamic body considers yoga banAP - 26 minutes ago
Malaysia to pull peace mission out of PhilippinesAP - 28 minutes ago
Afghan police: 4 dead in blast near US EmbassyAP - 33 minutes ago
Japan leader irks public with insensitive remarkAP - 49 minutes ago
Most Popular – Asia Pacific
Viewed
Fed, Treasury offer $800 bln more to credit markets
Michael Jackson strikes 'amicable' deal with Arab sheikh
Love handles increase death risk: study
Massive 300-billion dollar rescue for Citigroup
US president's mother 'doing very well' in hospital: Laura Bush
View Complete List »
Search:
Home
Singapore
Asia Pacific
World
Business
Entertainment
Sports
Technology
Top Stories
Most Popular
Other News on Wednesday, 26 November 2008
500 workers protest at Chinese toy factory
NZ stimulus package to boost faltering economy
Protesters shut Thailand's international airport
Japanese Nobel laureate shrugs off prize
Armenian architect's sweet dreams whet Czech appetites
Taiwan's Chen hints at death
Workers riot in south China over job losses: government
Appeals for China to stay execution of alleged spy
Four killed in Taliban gun battle in NW Pakistan: police
Sri Lanka army: Rebels fleeing northern stronghold
Indian navy destroyed Thai fishing boat, not pirate vessel: watchdog
A-mei to host an episode of "One Million Star"?
"Cape No.7" goes head on with cultural differences
Energy: Fulfilling life during time away from music
ITE introduces four new courses in precision engineering
Thousands stranded in Thailand by protests
Chris and Fann nursing a grudge on set
Fumble in the jungle: New Yorkers bid for elephant polo glory
PUB devotes S$600,000 to install water—saving devices in needy households
Iran says it now runs more than 5,000 centrifuges
EU proposes 200 bln euro stimulus package
US military kills 25 militants in Afghanistan
Russian senators approve presidential term extension: reports
Afghan acid attack girls warned not to go to school: police
Russian mayor killed near Georgia rebel region: officials
Iraq may hold referendum on U.S. troop pact
| International
|
Israeli army defies court in West Bank killings: paper
Iran reports rocket launch amid nuclear tension
| International
|
Hamas, Fatah women fist fight as disputes inflame
| International
|
Zimbabwe's MDC sees power-sharing talks collapsing
| International
|
Iraqi lawmakers set to endorse US pact
Crown prince of Belgium on three—day official visit to Singapore
Pro-peace Somali factions agree on power-sharing
| International
|
Taiwan diplomat works to repair ties with US
HK stock index up 3.8 pct after Wall Street gains
ICA officers seize 2,000 cartons of "eco—friendly" tobacco
Russian senators nod through extended presidency
| International
|
Man charged in deadly Sydney Harbor boat crash
China slashes interest rate to spur growth
S$12m initiative launched to help local firms be design—savvy
Somali forces vow to rescue hijacked Yemeni ship
| International
|
Pakistani rupee steady after IMF loan approval
China postpones summit with EU over Dalai Lama visit
Bangladesh economy faces trouble, says World Bank
ASEAN urged to rethink December summit in Thailand
Business leaders urge more Japan-EU economic ties
Malaysia leader: Yoga for Muslims OK without chant
Emirates president downplays oil price concerns
EU, China, US unleash global assault on crisis
Nepal, India agree to repair damaged river bank
Oil rises above $51 after falling overnight
S.Korea mulls purchasing bad assets from banks -report
Singapore Airlines suspends services to Bangkok
China slashes interest rate to boost growth
Report: Obama misses tasty Indonesia cuisine
China cuts bank reserve, raising amount for loans
Holiday movies offer escape from economy's gloom
| Entertainment
|
Taiwan dollar hits 1-week high, but c.bank curbs
Thai protesters must leave airport, other sites: army chief
S’pore imposes indefinite suspension on cluster munitions exports
Dr Lee Boon Yang in Brunei to attend gala variety show
Town councils’ sinking funds not mismanaged, says Teo Ho Pin
Bangkok—bound travellers hit by cancellations at Singapore airport
Thai army chief calls for elections
US Army to court martial soldier in Japan
Thai army chief calls for elections
China postpones EU summit over Dalai Lama visit
Britain against forced marriage in Pakistan
Britain praises Pakistan's dialogue with neighbors
200 workers protest at Chinese toy factory
SingTel launches location tracker service for subscribers
Is reality TV's most public couple really married?
Surviving Nepalese twin Jamuna awake after operation
Karzai says US, NATO created 'parallel' government
China urged to stay execution of alleged spy
Japan zoo mistakenly set up 2 female polar bears
Thai army chief calls for elections to end crisis
S’pore tour bookings to Bangkok down due to turmoil in Thai capital
Rare Vietnamese turtle in close call with soup pot
Kazakhstan passes controversial religion law
George Yeo says upcoming ASEAN Summit in Thailand remains uncertain
Israel PM set to face charges: justice ministry
Rapping Atlanta students making new song for Obama
Kany Garcia: Father taught her to use her heart
Britney Spears to perform in UK
Thai PM rejects army chief's call for elections
Nintendo Wii sales in Japan top seven million: survey
Elephant rampage leaves 1 dead in Indonesia
Is reality TV's most public couple really married?
Rocket hits NATO truck depot in Pakistan
MTV music awards to hit Berlin for Wall anniversary
Official: At least 40 dead in Mumbai attacks
25 wounded in Mumbai serial shootings
China confirms EU summit off over Dalai Lama row
Carson Daly to become daddy
Workers riot at Chinese toy factory
What celebrities are thankful for this year
Gerard Mortier to take over at Spain's Teatro Real
Kia Motors considers building new engine plant in Slovakia
Judge orders Mel Gibson deposed in lawsuit
The Killers break out the feathers and oddness
Iran says it now runs more than 5,000 centrifuges
After Knut, Germany gets new polar bear twins
Change.gov invites users to 'Join the Discussion'
French cable car to rehabilitate Rio's biggest favelas
Afghan leader complains US, NATO aren't succeeding
China postpones EU summit over Dalai Lama visit
Solid or striped? Woman blogs about Williams' ties
Kazakhstan passes restrictive religion measure
Pirates pile on pressure as India told it sank wrong boat
What are the best Thanksgiving videos on the Web?
Reports: 16 killed in Mumbai shootings
Obama almost spills the beans on Santa
Hu departs Greece with key port deal in the bag
Official: 40 killed in Mumbai shootings
Official: At least 40 dead in Mumbai attacks
QE2 reaches her final destination of Dubai
More than 60 killed in multiple Mumbai shootings, blasts
Official: 78 killed in Mumbai shootings
60 dead in Mumbai attacks: hospital
DR Congo rejects Indian troops for UN force: official
Bush 'pardons' his last Thanksgiving turkey
`Dexter' author Lindsay makes cameo appearance
Publisher disputes reports of book-buying freeze
China slashes interest rates hoping to spur growth
Report: Deccan Mujahideen claims Mumbai attacks
Thai govt, protesters reject army's peace plan
Thai protesters force closure of second airport: airport official
Israeli AG `considering' indicting prime minister
US: Potential female bombers in Iraq surrender
Russian leader visits Venezuela in show of defiance
Intel counter-attacks against European Commission
Mumbai attacks kill 80, police shoot four gunmen
| International
|
US: Mass grave with 23 bodies found in Iraq
US clears Bank of America deal for Merrill Lynch
Coup pressure on Thai army
| International
|
Obama vows 'help is on the way' for the economy
Iraqi factions haggle ahead of US pact vote
Iran signals nuclear work expansion, rules out halt
| International
|
India keep winning as Sehwag upstages Pietersen
US president's mother 'doing very well' in hospital: Laura Bush
Rice says Britain has plan for Georgia NATO bid
| International
|
Rice says Iraqi vote won't necessarily stall pact
US consumer spending slides one percent in October
IAEA overrides U.S., clears Syria nuclear aid plan
| International
|
Court: Iraq lawmaker can't be prosecuted for trip
Israeli attorney-general considers charging Olmert
| International
|
Afghan leader complains US, NATO aren't succeeding
Australians debate government battle against booze
Sudan government breaks Darfur ceasefire: U.N.'s Ban
| International
|
Israeli police capture American pedophile
Seoul shares open 3 pct higher; techs lead
A look at some major attacks in India
U.N. council clears way for EU mission in Kosovo
| International
|
US swallows more bad news, as EU unveils stimulus package
Bin Laden's ex-driver returns to Yemen
UN will weigh Congolese refusal to allow Indian troops
S.Korea c.bank to tap U.S. Fed credit line
Apple gears up for Black Friday sale
| Technology
|
Iraqi parliament delays vote on US pact
India's ONGC says bid for Imperial on track
Woman cleared of felonies in MySpace suicide case
| Technology
|
Indonesian Navy says credit crunch will lead to rise in piracy: report
EU governments to widen cap on mobile roaming costs
| Technology
|
Online networks a magnet for job-seekers
| Technology
|
Mobile apps find a home on touchscreen devices
| Technology
|
Public safety airwave auction faces next test
| Technology
|
Cheap Blu-ray players seen scarce in Europe
| Technology
|
What celebrities are thankful for this year
TV writers look to economy for cues to future shows
| Entertainment
|
Escort sexed up accusations: Boy George's lawyer
| Entertainment
|
Minnelli brings nostalgic mood to new Broadway show
| Entertainment
|
Beyonce starts Fierce atop U.S. album chart
| Entertainment
|
Black Crowes likely to hit studio in new year
| Entertainment
|
Nelly's party will include new scholarships
Italian director delves into deeper side of soccer
| Entertainment
|
Electronic monitoring ordered for philanthropist
Bruce Willis resolves dispute over green rubber
| Entertainment
|
At least 78 killed as gunmen rampage in India city
Rice says verification key for NKorea nuclear disarmament
At least 78 killed as gunmen rampage in India city
Thai protesters force closure of second airport: officials
Obama presses aggressive economic recovery plans
US, Britain lead condemnation of Mumbai attacks
Jail term for 3 S’poreans found guilty of contempt of court
US agents bust sale of alleged Hitler gold bookmark
Up to 100 killed, foreigners taken hostage in Mumbai attacks
Death toll from Philippine floods rises to 12
SIA says flights to Mumbai operating normally
Sydney ATM blasted in robbery attempt
NM governor hosts star-studded dinner at mansion
Miss World candidates hang up their heels for South African safari
Police investigating Chinese home appliance king: Xinhua
Thailand shuts down second airport
Bruce Willis settles dispute with Malaysia company
NKorea prepared to shut down Kaesong estate: analysts
At least 82 killed as gunmen rampage in India city
Singapore, Chile expands bilateral relations with education agreement
MFA says Singaporean among hostages in Mumbai
Group urges for a better way to kill dogs in Iraq
George Yeo says upcoming ASEAN Summit in Thailand remains uncertain
Malaysian woman jailed for abusing Indonesia maid
Malaysia woman convicted of abusing Indonesia maid
India state polls look to 2009 general election
GOME chairman saga reflects China equity risks
RPT-GLOBAL MARKETS-Asia stocks up for 5th day on China rate cut
Victims speak of night of terror in Mumbai
Thai protesters take second airport as both sides defy army
At least 82 killed as gunmen rampage in India city
China blames France, EU for summit cancellation
Tonga takes step towards democracy
Philippine gunmen torch buses in north, 7 wounded
Malaysian mother found guilty in horrific maid abuse case
Bomb near US embassy in Afghan capital kills four: police
Blast in Kabul near US embassy
UN backs plan for EU law mission in Kosovo
South Korea seeks talks with North on border closing
| International
|
Suicide bomb kills Afghan near U.S. embassy
| International
|
Iran signals nuclear work expansion, rules out halt
| International
|
Obama promises 'help is on the way' for ailing economy
Laos still paying the price of Vietnam war
| International
|
Thai ministers' plane makes emergency landing: air force
US lawmaker calls for action against Haiti hunger
Sudan government breaks Darfur ceasefire: U.N.'s Ban
| International
|
China warns of worse to come for its economy
U.N. council clears way for EU mission in Kosovo
| International
|
Angry China flexing muscle with Europe over Tibet: analysts
Pakistani c.bank sells 15 bln rupees in 7-day repo
SKorean soldier detained for grenade explosion
Nokia to pull out of Japan
| Technology
|
Police investigating Chinese home appliance king
Indonesia's top Islamic body considers yoga ban
Pakistan gets first tranche of $3.1 bln from IMF
Malaysia to pull peace mission out of Philippines
US beef back on shelves of SKorean supermarkets
Afghan police: 4 dead in blast near US Embassy
FACTBOX-A look at South Korea's planned reforms
Oil falls to near $53 as US demand outlook worsens
Japan leader irks public with insensitive remark
S.Korea's Lee aims to mend party rift, pass reform
Venezuela, Russia say oil prices must stabilize
Thailand shuts down second airport
S.Korea large firms' sentiment at 11-yr low -FKI
DEALTALK-Private equity firms flex muscle in South Korea
SKorea posts current account surplus for October
Beyonce starts Fierce atop U.S. album chart
| Entertainment
|
Bruce Willis resolves dispute over green rubber
| Entertainment
|
Actress narrowly escapes Mumbai attacks
| Entertainment
|
Todd Rundgren, pop genius and studio magician
Czech town with 'sad' past fights ghost town image