Asian shares advance to multi-month highs (Reuters) (11-05-2009)

HONG KONG (Reuters) - Asian shares rose to their highest in seven months with the dollar extending its decline on Monday, however weak corporate results and views that any global recovery will only be gradual may be signaling a turn for the worse.

This opinion is intensified due to the steep loss announced by Toyota Motor Corp on Friday, while any recovery in the global economy is unlikely to be swift.

The rally in Asia has has been driven by signs of an economic recovery in China, with the country set to post key data this week including exports and industrial output.

China on Monday said it fell deeper into deflation in April, but economists expressed confidence that prices will be rising again before the end of the year.

Japan's Nikkei average advanced by 0.2 percent, though it had fallen earlier on a 4.8 percent plunge in shares of Toyota after the automaker forecast a bigger-than-expected $8.6 billion annual loss after the close of markets on Friday.

Hong Kong's and Taiwan's main indexes each gained nearly 1 percent, but markets in Shanghai, Sydney and Singapore  fell.

Source: Reuters