Asian markets display modest recovery as some Euro-zone woes still loom

After last session’s brutal rout, stock markets in the Asian region have shown some signs of recuperation in Tuesday’s trading session. Investors lacked conviction to take large bests following the overnight consolidation on Wall Street brushing aside the concerns over the European debt crisis after French and Greek voters ousted respective incumbent parties in a backlash against austerity measures aimed at battling the region’s onerous financial trouble. However, the upside in the regional markets remained capped as the uncertainty over European debt trouble was far from over since Greek leaders were busy in cross-party talks to form a government, and with the chances for a coalition slim, a new set of elections is likely.

The benchmark in Japan led the gainers in Asian space as it climbed over half a percent on the back of hefty short covering in beaten down but fundamentally strong counters. However, the equity indices in China and Hong Kong bucked the positive trend and traded with moderate cuts as investors booked profits in property companies on weakening expectations that there will be policy loosening anytime soon.

Jakarta Composite rose 9.61 points or 0.23% to 4,168.47, KLSE Composite added 2.84 points or 0.18% to 1,587.71, Nikkei 225 climbed 52.95 points or 0.58% to 9,172.09, Straits Times Index advanced 9.27 points or 0.32% to 2,934.22, KOSPI Composite Index amassed 8.75 points or 0.45% to 1,965.19 and Taiwan Weighted inched up 6.30 points or 0.08% to 7,544.38.

On the flipside Shanghai Composite eased 16.23 points or 0.66% to 2,435.72 and Hang Seng Index lost 1.05 points or 0.01% to 20,535.60.