|
HONG KONG: Asian markets rose for a second straight day on Tuesdayas dealers picked up bargains after heavy selling through May, withconfidence boosted by hopes that Greece will avoid exiting theeurozone. Shares also received a lift on hopes that China will implement newstimulus measures to raise domestic demand and fast track somemajor construction projects. Investors, however, remained nervous by eurozone woes as attentionturned to Spain, where a growing banking and borrowing crisis hasraised fears the country could be forced to ask for a bailout. Tokyo rose 0.74 percent, or 63.93 points, to 8,657.08, Seoul added1.41 percent, or 25.74 points, to close at 1,849.91 while Sydneygained 1.14 percent, or 46.4 points, at 4,114,4. In afternoon trade Hong Kong was up 0.78 percent and Shanghai rose1.18 percent. Global markets have been in a downward spiral since May 6 electionsin Greece saw anti-austerity parties -- who have promised to tearup terms of a bailout package -- post huge gains. With no clear winner the country has been hit by politicaluncertainty until another election on June 17, with analystswarning anti-bailout groups would win and in turn see Athens leavethe euro. However, weekend opinion polls showed the pro-austerityconservatives in front, fuelling hopes Athens will eventuallycomply with the terms of the European Union-International MonetaryFund rescue deal. While concerns that Greece could exit the eurozone remain high,Spain's struggles have come to the fore in the past week afterBankia, one of the country's biggest lenders, asked for $24 billionin state aid. In Madrid Prime Minister Mariano Rajoy said Monday the country wasstruggling to borrow as the yields on benchmark Spanish bondssoared to 6.479 percent, considered too high for governments tokeep servicing their debts. However, he tried to soothe investors by saying that his governmentwould not have to follow Greece, Ireland and Portugal in asking fora bailout to help pay its bills. "Systemic risk is on the rise, and the problems have increasinglybecome circular, with banks themselves large holders of governmentdebt," ANZ Research analysts said in a note. "Spain has become another problem child for the (European Union),"it said. The euro bought $1.2534 in Asian trade, against $1.2543 in London,while it was at 99.67 yen compared with 99.95 yen. US markets wereclosed Monday for a holiday. The dollar was at 79.50 yen Tuesday, from 79.52 yen in London. Shares in Shanghai and Hong Kong shares were given an added lift bya report in the state-run Shanghai Securities News that Beijingwould introduce measures to jumpstart demand for automobiles. The news stoked expectations of more stimulus for other parts ofthe economy after a string of recent data indicating the world'snumber two economy is easing. "Investors can find opportunities in sectors like railroads,airlines, cars, water conservation, green energy, cement and heavymetals," Wang Bo, an analyst at China Minzu Securities, said. "These are all areas that will get a boost in corporate profit asBeijing rolls out sector-specific stimulus projects here," headded, according to Dow Jones Newswires. On oil markets New York's main contract, West Texas Intermediatecrude for delivery in July was up 48 cents at $91.34 per barrelwhile Brent North Sea crude for July shed three cents to $107.08 inthe afternoon. Gold was at $1,577.60 an ounce at 0645 GMT, compared with $1,578.70late Monday. - AFP/cc. I am an expert from medical-rehab-equipment.com, while we provides the quality product, such as Aluminum Wheelchairs Manufacturer , China Foldable Wheelchair, Sports Wheel Chair,and more.
Related Articles -
Aluminum Wheelchairs Manufacturer, China Foldable Wheelchair,
|
