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Asian markets rally after US employment data improves

16 Dec 2011 Evaluate

Asian stocks rose on Friday amid improving US jobs and manufacturing data and the expected approval in Italy of an austerity plan intended to get the country’s finances under control. Later today, the Italian government will hold a critical confidence vote in the lower house of parliament on a multibillion euro austerity package. Despite widespread opposition, the plan aimed at persuading bond markets that the country can emerge from the widening European debt crisis is expected to pass. Traders were also encouraged by a report from the Federal Reserve of New York that its index measuring regional manufacturing jumped to the highest level since May.

Chinese main stock index closed up 2 percent on Friday, supported by speculation that some sort of stock-boosting measures could be announced. Seoul shares rose over a percent, buoyed by signs of strength in the US economy and a solid bounce in battered automakers, but gains were limited by institutional selling that continued for a second consecutive session.

Asian Indices

Last Trade

Change in Points

Change in %

Shanghai Composite

2,224.84

43.95

2.02

Hang Seng

18,285.39

258.55

1.43

Jakarta Composite

3,768.35

66.81

1.81

Nikkei 225

8,401.72

24.35

0.29

Straits Times

2,659.22

23.97

0.91

Seoul Composite

1,839.96

20.85

1.15

Taiwan Weighted

6,785.09

20.50

0.30

KLSE Composite

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