Asia exhibits mixed movements

Stocks end on flattish note, awesome strength in Japanese equities

Asian markets were mixed today, tracking flat cues from the overnight US markets, as traders remained cautious after the recent spate of gains. Immense volaltity in the currency markets and a mildly bearish undertone in the US index futures also kept a tab on the sentiments though the Japanese stocks advanced impressively. In overnight trades, stocks in the US witnessed some downside in late-session and closed near after 4 consecutive days of gains. The Dow slid by 17.64 points or 0.2% to end at 10,526.49. A slew of economic data related to manufacturing, export & import prices and industrial production are lined up ahead and the DOW futures are down by 20 points.



Japanese stocks turned around sharply today after witnessing early losses, as the yen plunged against the US dollar on suspected intervention by the government. The Nikkei 225 Stock Average surged by 2.3% to end at 9,516, reversing a decline of as much as 1.1%. Today's rally was the largest for the Nikkei since July 28. The broader Topix index climbed 1.7% to 848.64, with more than three times as many shares advancing as declining.

The yen plummeted to levels above 85 per dollar this afternoon from a 15-year high of 82.88 this morning, after the Japanese Monetary authorities intervened in the market for the first time since 2004

The Australian stocks closed at a four-month high as banks gained on optimism about global and domestic economic recovery. The benchmark S&P/ASX200 Index gained 35.00 points, or 0.76%, and closed at 4,661 points, while the All-Ordinaries Index ended at 4,703, representing a gain of 33.60 points, or 0.72%.

On the economic front, results of a joint survey conducted by the Westpac Bank and the Melbourne Institute revealed that a closed watched barometer of consumer confidence declined during September after two months of gains The Westpac Bank/Melbourne Institute's Consumer Sentiment index declined by 5.0%in September to a reading of 113.2.

A report released by the Australian Bureau of Statistics revealed that the number of dwelling starts in the country rose 0.8% between April and June compared to the previous three months. Dwelling starts totaled just under 45,000 during the three-month period. New private sector house starts fell 3.9%, while new private sector other residential building starts jumped 11.5%. The bureau further noted that, on a year-over-year basis, total dwelling starts increased 43.8% in the June quarter.

Chinese equities gave up more than 1% today, as the profit selling pressure pulled index linked counters lower on ideas the market is unlikely to gain much after testing four month highs. The Shanghai Composite Index closed at 2,652.5, down 1.30%.

In Mumbai, the key benchmark indices gained for the seventh straight day on data showing heavy buying by foreign funds recently. The barometer index BSE Sensex and the 50-unit S&P CNX Nifty scales 32-month highs. Index heavyweight Reliance Industries edged higher. The BSE 30-share Sensex was provisionally up 150.17 points or 0.78%, off close to 60 points from the day's high and up close to 155 points from the day's low. IT, FMCG and metal stocks rose.

In other markets, Hang Seng index in Hong Kong edged up 0.14%, TSEC index in Taiwan added 0.38 % while Straits Times index in Singapore jumped 0.73%. Dollar was mixed against the Euro, though the 1.3000 levels continued to act as a stiff hurdle. Crude oil plummeted under $76 per barrel mark, dropping more than 1 dollar on the day.