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Relief over Italy, Japan GDP pulls Asian bourses higher

14 Nov 2011 Evaluate

Expanding their previous session’s rally, Asian markets exhibited a joyful day of trade on Monday and major indices in the region snapped the session with a gain of over 1-2 percent as Italy’s new leader promised to pull the debt-ridden country back from the edge of a fiscal catastrophe that has endangered to tear the euro-zone. Italian lawmakers on Saturday approved a package of economic reforms that Berlusconi set as the precondition for his resignation amid global market turmoil.

Moreover, investors also cheered the Japanese Gross Domestic Product (GDP) data which grew for the first time in four quarters, recovering from the devastating earthquake-cum-tsunami in March on the back of strong exports and domestic consumer spending. The country’s GDP grew at an annualized pace of 6% in the three months ending September 30, the fastest pace in one-and-a-half-year. Economists had forecast an increase of 5.9%. On a quarter-on-quarter basis, Japan’s GDP grew by 1.5% in the fiscal third quarter.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2,528.71

47.63

1.92

Hang Seng

19,508.18

371.01

1.94

Jakarta Composite

3,833.04

54.16

1.43

KLSE Composite

1,478.87

10.12

0.69

Nikkei 225

8,603.70

89.23

1.05

Straits Times

2,830.14

39.20

1.40

Seoul Composite

1,902.81

39.36

2.11

Taiwan Weighted

7,525.65

158.36

2.15

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