Asian markets start the week on upbeat note

Risk appetite remains strong following softer than forecast drop in US non farm payrolls

Asian markets mostly gained today followed upbeat cues from the US markets on Friday as the risk appetite remained strong following softer than forecast drop in US non farm payrolls. The markets steadily built upon the last week's gains but the movement was quiet as trading interest was thin ahead of the US Labor Day Holiday today. The US stocks rallied to their best closing levels in three weeks ahead of a long weekend on Friday. The major averages ended the day near their highs for the session. The Dow jumped by 127.83 points or 1.2 percent to end at 10,447.93. The index rose by nearly 3% for the week.



Japanese stocks moved up for a fourth day as constructive US jobs data and a drop in the value of Japanese Yen supported the stocks. The Nikkei 225 Stock Average moved up quite impressively by 187.19 points to close at 9301.32 points as exporters like Sony Corp and Suzuki Motor Corp surged. The broader Topix also gained 1.8% to close at 838.71 with all 33 industries in the index gaining and as many as 12 stocks gained for every stock that fell. On economic front, sales of imported cars climbed 74.9% in August from a year earlier to 19,718 units for the tenth month in a row, according to preliminary data released by the Japan Automobile Importers Association.

The share market in Australia recorded modest gains as strong cues from the Asian markets supported the sentiments. Dollar lingered near its two week low against the Euro and kept the undertone in commodities steady to firm, assisting the resource stocks in Australia. Banking stocks also gained despite the setback for Macquarie group. The benchmark S&P/ASX200 index closed up 34.3 points, or 0.8%, at 4575.5, while the broader All Ordinaries index added 38.1 points, or 0.8% to close at 4615.7. Among the sectors, materials and financials stocks added 0.8%. On economic front, the international credit rating agency Standard & Poor's (S&P) has reaffirmed Australia's AAA credit rating, saying there is a strong political will to bring the budget back to surplus whoever eventually wins power.

Chinese equities gained traction in tune with the global cues as the key Shanghai stock index hit its highest level in around four months. The banking and infrastructure stocks sector made the markets witness follow up buying after impressive gains in the last week.The benchmark Shanghai Composite Index added 40.86 points, or 1.54% to close at 2,696.25. The Shenzhen Component Index rose 188.99 points, or 1.65%, to close at 11,656.08.

In Mumbai, stocks surged amid a broad rally. The BSE 30-share Sensex was provisionally up 345.74 points or 1.9%, up close to 445 points from the day's low and off close to 25 points from the day's high. The two key benchmark indices -- the barometer index BSE Sensex and the 50-unit S&P CNX Nifty hit their highest level in 31 months as good monsoon rains and sustained buying by foreign funds, boosted investor sentiment. The BSE Sensex crossed 18,500 mark and Nifty crossed 5,550 level.

In other markets, the Hang Seng index in Hong Kong soared by 1.83%, Straits Times in Singapore added 1.07% while the TSEC in Taiwan edged up 0.78%. Dollar was mostly unchanged, coming off a low of 1.2919 against the Euro- its weakest mark in two and half week. DOW futures are just holding on ahead of the US holiday while crude oil bounced off a low near $74 per barrel and currently quotes at $74.23, down 37 cents.