Asia stocks take breather after last week's surge

GMT 04:00 2014 Monday ,03 November

Arab Today, arab today Asia stocks take breather after last week's surge

Asian markets are mixed
Hong Kong - AFP

 Asian markets were mixed Monday as traders took a breather after last week's rally, while Hong Kong and Shanghai were barely moved after a weak Chinese manufacturing report.
Dealers were given a healthy lead from Wall Street, where the Dow and Standard and Poor 500 reached new record highs after Japan's central bank said it would ramp up its own stimulus programme to kickstart growth.
The dollar held on to Friday's gains against the yen, sitting at seven-year highs, as Friday's news came days after the Federal Reserve ended its own stimulus, highlighting the contrast between the US and Japanese economies.
Hong Kong was flat and Shanghai added 0.39 percent, while Sydney eased 0.30 percent and Seoul dipped 0.60 percent. Tokyo was closed for a public holiday.
Global markets and the dollar surged on Friday after the BoJ said it would widen its asset-purchasing scheme to boost lending and try to avert a recession.
After a jump in Asian shares, including a near five percent rise in Tokyo, Wall Street powered ahead.
The Dow leapt 1.13 percent and the Standard and Poor 500 added 1.17 percent -- both hitting all-time highs -- while the Nasdaq gained 1.41 percent.
However, dealers took a breather for the first day of November trade, with profit-takers moving in.
Shanghai and Hong Kong edged up after China released at the weekend an index of manufacturing activity that showed growth slowed in October, the latest data indicating the world's second-largest economy slowing down.
The official purchasing managers index (PMI) came in at 50.8 last month, the National Bureau of Statistics said, lower than the 51.1 in September. Readings above 50 indicate growth, while anything below points to contraction.
PMI tracks activity in China's factories and workshops and is a closely-watched indicator of the health of the economy.
On Monday a separate report by HSBC came in a 50.4, the strongest result since July.
"Overall, the manufacturing sector continued to stabilise in October, however the sequential momentum likely weakened," says HSBC. "The economy still shows clear signs of insufficient effective demand."
The figures have raised hopes that Beijing will introduce a new set of economy-boosting measures, with some analysts suggesting officials will cut the amount of cash banks must keep in reserve, in order to boosting lending.
On currency markets the dollar bought 112.74 yen -- its highest since December 2007 -- against 112.25 yen Friday in New York.
The euro was at $1.2473 and 140.60 yen compared with $1.2525 and 140.71 yen.
Oil prices moved higher. US benchmark West Texas Intermediate for December delivery rose one cent to $80.55 while Brent crude for December was up 15 cents to $86.01.
The price of gold fell to $1,167.47 an ounce from $1,173.87 late Friday.


Arab Today, arab today
Arab Today, arab today
arabtoday arabtoday arabtoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabs, Arab, Arab