Asian stocks advance; China jumps, Tokyo briefly dented (AP) (09-10-2009)

BEIJING (AP) -- Most Asian markets rose Friday with Chinese shares surging nearly 5 percent after a weeklong holiday and Seoul advancing amid news the central bank left interest rates at a record low. European shares were modestly higher.

Tokyo, Shanghai, Hong Kong, Seoul and European bourses rose after improved U.S. jobs and retail sales data overnight. Investors are also looking to a slew of corporate earnings reports for more clues about the strength of the global economic recovery.

Japan's benchmark Nikkei 225 index added 183.92 points, or 1.9 percent, to 10,016.39, helped by a weaker yen and with game maker Nintendo surging on an analyst upgrade. Hong Kong's Hang Seng rose 6.54 points, less than 0.1 percent, at 21,499.44.

The Tokyo session was briefly dented by news Japan's August core machinery orders, a key indicator of company spending, rose just 0.5 percent, short of the consensus forecast of 2.3 percent and fueling concern about company spending despite improving global demand.

South Korea's Kospi added 1.9 percent to 1,646.79 after its central bank left its key interest rate unchanged at a record low, saying it would stick to an "accommodative stance" for now. Korea is believed to be close to following Australia in raising rates, but the central bank said inflation does not appear to be a problem.

In China, the benchmark Shanghai Composite Index jumped 4.8 percent to 2,911.72 as markets reopened following a weeklong holiday. Elsewhere, Singapore's Straits Times Index was fractionally lower and Australia's index fell 0.3 percent.

Oil prices fell to near $71 a barrel in Asia, giving up part of the previous day's big gains, as the U.S. dollar rebounded. In currency markets, the dollar rose to 89.21 yen from 88.37 yen. The euro fell to $1.4717 from $1.4791.

Source: AP