Asian markets gain as world leaders gather (AP) (14-11-2008)
 

BANGKOK, Thailand (AP) -- Asian markets gained in the wake of Wall Street's overnight surge as investors nibbled on beaten-down shares and global leaders gathered in Washington to discuss ways to tackle the global financial crisis.

Japan's benchmark Nikkei 225 stock average rose 223.75 points, or 2.7 percent, to 8,462.39 and Hong Kong's Hang Seng was up 398.90 points, or 3 percent, to 13,620.25 points.

Mainland China's key index was up more than 3 percent, while markets in Australia and Singapore were up just above 1 percent. South Korea's Kospi ended flat after giving up an early rise.

The cautious advance in Asia followed a volatile Thursday on Wall Street with an abrupt turnaround muscling the Dow Jones industrial average up more than 550 points, or 6.7 percent, to 8,835.25 after a stream of negative economic and corporate news drove the index to its lows for the year.

The G-20 includes Argentina, Australia, Brazil, Britain, Canada, China, France, Germany, India, Indonesia, Italy, Japan, Mexico, Russia, Saudi Arabia, South Africa, South Korea, Turkey, United States and the European Union.

The Paris-based Organization for Economic Cooperation and Development said the world's developed countries probably have already entered a recession. Gross domestic product was likely to fall by 0.3 percent in 2009 for its 30 member countries, representing democracies with market economies. It said the U.S. economy would contract by 0.9 percent, Japan by 0.1 percent and the euro area by 0.5 percent.

Bellwether stocks in Japan traded higher. Sony Corp. jumped 3.8 percent and Toyota Motor Corp. rose 2 percent.

Australian resource stocks rebounded after light, sweet crude for December delivery rose $2.08 to settle at $58.24 a barrel on the New York Mercantile Exchange Thursday. Crude earlier dipped as low as $54.67, a price last seen in January 2007, on reports that the world's biggest economies are in recession and that energy demand has declined to decade-ago levels.

U.S. stock futures were lower, suggesting Wall Street might retreat Friday. Dow futures were down 80 points, or 0.9 percent, to 8,750.

Source: AP