Stocks firm up in Asia, Europe
Stocks firm up in Asia, Europe
09:17, December 29, 2009 
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European stocks rose to a 14-month high and Asian shares advanced after China said its economy grew faster than estimated so far this year. Emerging-market currencies strengthened and US Treasuries fell.
The Dow Jones Stoxx 600 Index added 0.4 percent to 252.86 as of 12:10 pm in Paris. The MSCI Asia Pacific Index climbed 0.7 percent to 120.39, the highest level since Dec 14. US futures rose. The South Korean won advanced against 14 of the most-traded currencies tracked by Bloomberg. Treasuries dropped before this week's $118 billion auction of government debt.
China's economy, which is leading the world out of the first global recession since World War II, grew faster than previously estimated, the government said. The US will turn in its best performance since 2004 next year as spending picks up and companies increase investment, said Dean Maki, the most-accurate forecaster in a Bloomberg News survey.
"The global economy is just about bottoming out," said Masaru Hamasaki, chief strategist at Tokyo-based Toyota Asset Management Co, which oversees the equivalent of $14 billion. "I don't expect huge economic growth, but I do see things recovering."
Germany's DAX Index climbed 0.7 percent, as did France's CAC 40 Index. ArcelorMittal, the world's biggest steelmaker, and Boliden AB led European basic-resources companies higher as metal prices rose. Seadrill Ltd, the drilling company founded by billionaire John Fredriksen, and Aker Solutions ASA gained as crude oil traded above $78 a barrel in New York.
Dubai and Abu Dhabi shares climbed to their highest levels in a week, with the DFM General Index increasing 3.4 percent and the ADX General Index adding 1.2 percent, respectively.
Standard & Poor's 500 Index futures, which were closed for trading on Dec 25, rose 0.2 percent.
The Nikkei 225 added 1.3 percent after Japan reported yesterday that industrial production improved for a ninth month in November. JFE Holdings Inc and Hitachi Construction Machinery Co led gains.
The US economy will expand 3.5 percent in 2010, according to Maki, the chief US economist at Barclays Capital Inc in New York.
The rebound in stocks and rising incomes will prompt Americans to boost consumption, said Maki, a former economist at the Federal Reserve. Companies will become confident the expansion will be sustained as inventories dwindle and demand increases, he said.
The dollar strengthened for the first time in four days against the euro and yen before reports forecast to show improving US property values and consumer confidence.
The dollar rose to $1.4394 per euro in Tokyo from $1.4411 in New York on Dec 25, and advanced to 91.48 yen from 91.3 yen against the Japanese currency. Treasuries declined, pushing 10-year yields to a four-month high of 3.84 percent, as investors bet the US recovery will fuel inflation and reduce demand for debt at auctions this week. The gap between yields on 2-year and 10-year Treasuries reached 285 basis points, or 2.85 percentage points, near the highest on record.
Source: China Daily
The Dow Jones Stoxx 600 Index added 0.4 percent to 252.86 as of 12:10 pm in Paris. The MSCI Asia Pacific Index climbed 0.7 percent to 120.39, the highest level since Dec 14. US futures rose. The South Korean won advanced against 14 of the most-traded currencies tracked by Bloomberg. Treasuries dropped before this week's $118 billion auction of government debt.
China's economy, which is leading the world out of the first global recession since World War II, grew faster than previously estimated, the government said. The US will turn in its best performance since 2004 next year as spending picks up and companies increase investment, said Dean Maki, the most-accurate forecaster in a Bloomberg News survey.
"The global economy is just about bottoming out," said Masaru Hamasaki, chief strategist at Tokyo-based Toyota Asset Management Co, which oversees the equivalent of $14 billion. "I don't expect huge economic growth, but I do see things recovering."
Germany's DAX Index climbed 0.7 percent, as did France's CAC 40 Index. ArcelorMittal, the world's biggest steelmaker, and Boliden AB led European basic-resources companies higher as metal prices rose. Seadrill Ltd, the drilling company founded by billionaire John Fredriksen, and Aker Solutions ASA gained as crude oil traded above $78 a barrel in New York.
Dubai and Abu Dhabi shares climbed to their highest levels in a week, with the DFM General Index increasing 3.4 percent and the ADX General Index adding 1.2 percent, respectively.
Standard & Poor's 500 Index futures, which were closed for trading on Dec 25, rose 0.2 percent.
The Nikkei 225 added 1.3 percent after Japan reported yesterday that industrial production improved for a ninth month in November. JFE Holdings Inc and Hitachi Construction Machinery Co led gains.
The US economy will expand 3.5 percent in 2010, according to Maki, the chief US economist at Barclays Capital Inc in New York.
The rebound in stocks and rising incomes will prompt Americans to boost consumption, said Maki, a former economist at the Federal Reserve. Companies will become confident the expansion will be sustained as inventories dwindle and demand increases, he said.
The dollar strengthened for the first time in four days against the euro and yen before reports forecast to show improving US property values and consumer confidence.
The dollar rose to $1.4394 per euro in Tokyo from $1.4411 in New York on Dec 25, and advanced to 91.48 yen from 91.3 yen against the Japanese currency. Treasuries declined, pushing 10-year yields to a four-month high of 3.84 percent, as investors bet the US recovery will fuel inflation and reduce demand for debt at auctions this week. The gap between yields on 2-year and 10-year Treasuries reached 285 basis points, or 2.85 percentage points, near the highest on record.
Source: China Daily
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