Asian markets gain on corporate earnings hope (AP) (08-10-2009)

HONG KONG (AP) -- Asian stock markets gained more ground Thursday as investors eyed earnings from major companies for clues about the health of the global economy.

The advance came after a mixed finish on Wall Street, where traders were reluctant to place major bets ahead of quarterly reports from U.S. companies.

But investors were pleased by news after the closing bell that aluminum maker Alcoa Inc., the first of the 30 companies that make up the Dow Jones average to announce its earnings, said it was profitable again after three losing quarters.

Markets received further support from a drop in Australia's unemployment rate, adding to optimism about an economic recovery and causing the country's currency to surge to a 14-month high against the dollar, above 90 cents.

The dollar, meanwhile, continued losing ground, which pressured commodities prices, to gain further. Crude oil climbed above $70 a barrel and gold hit a new high above $1,058 an ounce.

Still, some investors were treading cautiously as they awaited more earnings reports in the U.S. as well as the reopening of mainland China's markets Friday, which have been closed the last week for a national holiday, analysts said

Japan's Nikkei 225 stock average rose 32.87 points, or 0.3 percent, to 9,832.47 and Hong Kong's Hang Seng added 243.63 points, or 1.2 percent, to 21,485.22.

Elsewhere, South Korea's Kospi inched up 0.1 percent and India's Sensex was 0.8 percent higher. Australia's index jumped 1.6 percent.

Oil prices rose amid a weakening U.S. dollar and mixed crude inventory data. Benchmark crude for November delivery was up 68 cents at $70.25; the contract lost $1.31 overnight.

The dollar slumped, trading at 88.26 yen from 88.60 yen. The euro gained to $1.4774 from $1.4687.

Source: AP