Quantcast
Latest Stories

Asian stocks mostly boosted by strong China data



Screengrab from Google Finance

HONG KONG—Asian shares mostly rallied on Monday after strong manufacturing data indicated a slowdown in China may be coming to an end, while the dollar climbed back towards the 100 yen mark.

Easing concerns about a possible military strike on Syria also lifted sentiment and reduced worries over crude oil supplies, sending prices lower.

Hong Kong climbed 2.04 percent, or 443.97 points, to 22,175.34, while Shanghai nudged up 0.07 points to 2,098.45 and Tokyo added 1.37 percent, or 184.06 points, to 13,572.92.

Sydney advanced 1.03 percent, or 53.3 points, to 5,188.3 but Seoul was flat, edging down 1.55 points to 1,924.81.

Data Saturday showed China’s official purchasing managers’ index (PMI) of manufacturing hit 51.0 last month, up from 50.3 in July and the best reading since April last year. Anything above 50 indicates growth, while anything below signals contraction.

On Monday HSBC confirmed its own PMI came in at 50.1.

The news provided some much-needed support for regional markets after last month’s major sell-off—particularly among emerging markets—caused by fears the US Federal Reserve will soon start to wind down its stimulus program.

China however lowered its figure for economic growth for last year to 7.7 percent from 7.8 Monday evening, an unexpected downgrade that came after markets had closed.

GDP stood at 51.9 trillion yuan ($8.5 trillion) for 2012, the National Bureau of Statistics said.

In forex trade the dollar climbed to 99.24 yen from 98.16 yen on Friday in New York, having sunk to below 97 yen at one point last week.

The euro bought $1.3216 and 131.17 yen compared with $1.3218 and 129.82 yen.

India’s rupee weakened against the dollar after data Friday showed the economy grew just 4.4 percent in the April-June quarter, below expectations.

In afternoon trade it was sitting at 66.12 to the greenback, compared with 65.70 late Friday, when the central bank is reported to have stepped in to support the unit.

However, the currency is much stronger than the levels around 69 seen in the middle of last week.

Regional sentiment was also helped by lower expectations of a US-led intervention in Syria after its alleged chemical attack on its own civilians last month.

Global shares and currencies were hammered last week as dealers bet on a targeted strike, which they feared would spark a wider regional conflict.

However, Britain’s parliament rejected such a move last week, while on Saturday US President Barack Obama broke with decades of precedent to say he would seek approval from Congress for action—meaning nothing was likely to happen imminently.

On oil markets New York’s main contract, West Texas Intermediate for delivery in October, eased $1.46 to $106.19 a barrel in afternoon trade. Brent North Sea crude for October fell $1.01 to $113.00.

Gold cost $1,390 an ounce at 1045 GMT, down from $1,395.50 late Friday.

In other markets:

– Taipei rose 0.21 percent, or 16.97 points, to 8,038.86.

Taiwan Semiconductor Manufacturing Co. added 1.49 percent to Tw$102.0 while Hon Hai Precision was 0.49 percent higher at Tw$81.6.

– Manila eased 0.22 percent, or 13.37 points, to 6,061.80.

Philippine Long Distance Telephone Co. fell 0.63 percent to 2,860 pesos and Ayala Corp. lost 2.02 percent to close at 534 pesos.

– Wellington jumped 1.22 percent, or 55.39 points, to end at 4,596.36.

Fletcher Building was up 2.85 percent at NZ$9.01, TradeMe gained 0.69 percent to NZ$4.38 and Telecom eased 1.32 percent to NZ$2.25.

– Kuala Lumpur gained 10.02 points, or 0.58 percent, to 1,717.56.

SapuraKencana Petroleum shed 2.8 percent to 3.49 ringgit and Felda Global Ventures Holdings lost 2.7 percent to 4.25 ringgit.

– Jakarta ended down 2.24 percent, or 93.86 points, at 4101.23.

Cement maker Indocement Tunggal Prakarsa fell 7.61 percent to 18,200 rupiah, while state-controlled miner Aneka Tambang rose 3.01 percent to 1,370 rupiah.

– Singapore gained 0.88 percent, or 26.78 points, to 3,055.72.

United Overseas Bank gained 2.06 percent to Sg$20.30 while oil rig maker Keppel Corp was up 0.69 percent at Sg$10.17.

– Bangkok added 2.27 percent or 29.40 points to 1,323.70.

Coal producer Banpu gained 6.52 percent to 294 baht, while telecoms company True Corporation jumped 9.23 percent to 7.10 baht.

– Mumbai closed up 1.43 percent, or 263.41 points, to 18,886.13.

Tata Steel rose 5.54 percent to 289.45 rupees while oil explorer Reliance Industries rose 3.78 percent to 883.75 rupees.—Danny McCord

Originally posted: 11:08 am | Monday, September 2nd, 2013


Follow Us


Follow us on Facebook Follow on Twitter Follow on Twitter


Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: Asia , China , dollar , Finance , Forex , gold price , oil prices , stocks , syria , Trade , Violence

  • http://entreb.com/ Entreb

    The Philippines should focus on improving its human development index which is still very low compare with our neighboring countries.

  • DurangoJoe

    Nothing to get excited about. The increase in PMI is less than 1 per cent (.7) up from June. X’mas is coming so naturally there will be more orders from China. Asian market is only looking for any reason to buoy the economy.

    • Kaizensigma

      asian markets including the phil market are looking for every reasons, no matter how small, to support their economies which is highly dependent on the China market and therefore the health of the chinese economy. Since the EU is still mired in recession, paltry growth and heavily saddled with debt and the US economy which is lumbering through a weak recovery, the only hope is the return of the robust chinese economy to prop up their own respective resource export dependent economies. so you see, even a .7 PMI is enough to provide a sliver of hope where hope is hard to come by these days.

  • Kaizensigma

    Today if the Chinese economy even as to catch a minor flu bug, the rest of the world’s economies, particularly in Asia, are understandably quite concern and are hoping and praying for its quick recovery. This can no longer be ignored even by the USA economy.



Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94
Advertisement
Advertisement

News

  • Kim Henares needs a reprimand, says Cayetano
  • AFP denies hand in disappearance of Tiamzon’s gardener
  • PH gov’t to verify MILF presence in Basilan clash
  • Padaca ‘eager’ to air side on trial over graft, malversation raps
  • DPWH to favor road rehab over preventive maintenance in next 2 years
  • Sports

  • Power Pinoys salvage 7th place in Asian men’s volley club championship
  • Knicks prevent Nets from clinching fifth seed
  • Arsenal beats West Ham 3-1 in Premier League
  • Memorial service marks Hillsborough anniversary
  • My ideal weight is 140, declares Pacquiao
  • Lifestyle

  • Celebrate Easter Sunday at Buddha-Bar Manila
  • Moriones feast: A slow, steady transformation
  • Weaving ‘palaspas’ a tradition kept alive in Tayabas City
  • Finalists announced for best translated books
  • Summer treat for your aspiring astronomers
  • Entertainment

  • Mommy Dionisia Pacquiao’s greatest hits
  • Deniece Cornejo posts bail—report
  • Miley Cyrus hospitalized, cancels US concert
  • Otaku Summer Jam 2014: Summer’s hottest J-rock/Cosplay event
  • 2NE1 returns to Manila with “All Or Nothing” Tour
  • Business

  • I-Remit teams up with Lakhoo for remittances from Oman
  • Megawide nets P1.4 B in 2013
  • Longer TRO sought on rate hike
  • Make a stylish statement with the all-new Yaris
  • Hearing set in Olarte case
  • Technology

  • Smart phone apps and sites perfect for the Holy Week
  • Tech company: Change passwords or suffer ‘Heartbleed’
  • Filling the digital talent gap
  • SSS to shut down website for Holy Week
  • Another reason to quit social media this Holy Week: your safety
  • Opinion

  • We may never know
  • Couple of things
  • Mommy D’s magic
  • Stop bizarre and bloody Good Friday rituals
  • Holy Week taboos
  • Global Nation

  • 2 PCG men ordered arrested over Balintang Channel shooting
  • US Embassy closed on Holy Thursday, Good Friday
  • Relief worker draws inspiration from helping Yolanda victims
  • Philippines says peace pact should hold despite clashes
  • No travel restrictions to Middle East amid MERS-CoV scare
  • Marketplace