Asian equities mostly gain on Monday

Non-farm offers help though late rally in dollar exerts some selling pressure

Asian markets mostly went up today as the markets eyed the positive cues from the US non-farm payrolls data and continued risk appetite. U.S. non-farm payrolls figures released on Friday showed a solid rise of 151,000 for October, the first gain since May and more than double economists' expectations. US stocks were mixed as the upbeat October jobs failed to lift the markets following Thursday's rally. The markets witnessed some upside in late-session dealing but the Dow could gain just 9.24 points or 0.1 percent to close at 11,444.08. However, the upward skid was uneven and the late rally in the US dollar pulled a couple of important markets in red by the close.



Japanese equities hit a three-month closing high today, adding to gains made last week as risk money shifts toward global equities on improving prospects for the U.S. economy. The outlook for the U.S. economy has brightened after the Federal Reserve decided to buy more debt and after encouraging U.S. jobs data. There was nothing much on economic side and the benchmark Nikkei 225 index surged above 9700 points mark by the midday. Market rallied after a brief period of consolidation and the index ended at 9732.92, up 106.90 points or 1.11% from the previous close.

The Australian stocks eased today, sliding in right from the start as investors cashed in on recent gains in the resources, financial and property sectors. The miners were somewhat supported by firm copper prices and gold prices but the benchmark S&P/ASX 200 index ended down 22.2 points, or 0.46% to 4778.4 points. Quantas dropped 2.5% to A$2.79 as it revealed it is keeping its Airbus A380 fleet grounded beyond an initial 48-hour deadline as it has found potential issues with three engines on two aircraft.

In China, markets rose for the third trading day though the trading remained thin. Investors eyed the upbeat US employment figures and the index linked counters gained. Though the investors remain worried about the latest US quantitative measures leading to a torrent of capital inflows racing towards the world's fastest growing economic and fueling asset prices even more, the short term momentum seems to be in favor of the bulls. The benchmark Shanghai Composite Index added 30.01 points or 0.96% to close at 3,159.51.

In Mumbai, the key benchmark indices started the week on a subdued note as investors locked in profits after market scaled record closing highs on special one hour trading session to mark the beginning of Samvat year 2067 on Friday, 5 November 2010. Weak European stocks and lower US index futures also weighed on investor sentiment. Index heavyweight Reliance Industries edged higher in volatile trade. IT, banking and consumer durables stocks fell. Metal stocks reversed initial gains. But, sugar and cement stocks surged.

The BSE Sensex fell below the psychological 21000 mark after closing above that mark on Friday, 5 November 2010. As per provisional figures, the BSE 30-share Sensex was down 146.76 points or 0.7% to 20.858.20. The S&P CNX Nifty closed down 35.90 points or 0.57% to 6,276.55 as per provisional figures. The Nifty hit a high of 6,335.90.

In other markets, the Hang Seng index in Hong Kong gained 0.35%, the Straits Times index in Singapore rallied 1.85% while the TSEC index in Taiwan slid lower by 0.22%. Dollar was mixed today as the sharp gains post non-farm payrolls in New York on Friday were seen fading away. However, renewed worries on the European front kept the gains under check for the Euro. There has been reported spells of opposition in Ireland to the public pension cuts and the official outcome of local elections in Greece Sunday is also due. These factors have ensured the gains in Euro get trimmed at 1.3976. Dollar went up in late trades as the pressure was right back on the Euro and the currency was last seen quoting under 1.3900 mark against the Euro. Crude oil topped $87.49 per barrel- its two year highs before easing under $87 mark.