Asian market closed today September 07, 2011

Asian market closed today September 07, 2011 : Asia-Pacific market closed higher on Wednesday, September 07, 2011, with the benchmark regional index registering first gain in four days, as bottom fishing reemerged on view that recent selloff was overcooked.

The MSCI Asia Pacific Index climbed 1.2% to 120.5 today after erasing more than 5% in previous three sessions, dragging down its valuations below a level last seen in October 2008.

A wave of negative sentiment slammed global stock markets for previous three days, after a government report said the U.S. economy failed to add any new jobs in August, and amidst concerns about debt contagion in the Europe and the global economic slowdown.

Risk appetite for equities and commodities spirited Wednesday on better than expected report on the non-manufacturing ISM index and on news report that President Barack Obama will unveil a $300 billion package to create new jobs in an address to Congress on Thursday. Meanwhile Greece's government vowed to increase the pace of structural reforms also boosted buying sentiments. Greece government plans to step up plans to privatize as well as close or merge government organizations.

The markets are likely to further react to US President Barrack Obama's speech to the Congress, due on Thursday, highlighting ways to boost hiring. Federal Reserve chairman Ben Bernanke is scheduled to discuss the nation's economic outlook on the same day, in Minnesota.

Benchmark crude oil for October delivery rose 40 cents to $86.42 a barrel in electronic trading on the New York Mercantile Exchange. Three-month copper climbed 1.2% to $9,039 a metric ton on the London Metal Exchange today for its first gain in five days.

In the Australia, the All Ordinaries index closed up 2.46% at 4,262.90 and the S&P/ASX200 rose 2.65% at 4,183.40, powered by surprisingly strong domestic GDP data. Close to all sectors landed in green terrain, with energy, materials and financials led rally.

The Australian Bureau of Statistics said Wednesday that nation's gross domestic product (GDP) rose by 1.2% in the three months to the end of June from the previous quarter. GDP was up 1.4% from the year-earlier period. The ABS says one of the major reasons for the pick-up in growth is from a rise in business inventories and household spending. The Bureau of Statistics figures put the annual rate of economic growth at 1.4%.

In Japan, Nikkei Stock Average surged 2.01% at 8,763.41, powered by bottom fishing among recently battered stocks on view that recent correction was overdone. A pause in the yen climb against the dollar also buoyed up buying sentiment.

Export related players were major gainers on the market, boosted by yen weakness against the dollar and the euro. Shipping companies turned up on tracking strength in freight rate benchmark Baltic Dry Index.

The Japanese yen was trading at 77.41 in Asian deal Wednesday. It was weakened to a 1-month low of 77.74 against the US dollar in late New York session on Tuesday on speculation that Japan will also steps in to rein in its currency after the Swiss central bank's imposition of a ceiling on the franc's exchange rate.

Japanese Finance Minister Jun Azumi said on Wednesday that he would continue to monitor speculative moves in the foreign exchange market as the yen's current strength has put Japan in a severe situation.

The Bank of Japan's nine-member policy board voted unanimously at a two-day meeting to maintain the overnight call rate target at zero to 0.1% to help the world's No. 3 economy weather a strong yen and worries about a global slowdown.

China's benchmark Shanghai Composite index closed sharp 1.84% higher to 2,516.09, as bargain hunting following the four-sessions losing streak. The benchmark index fell to a near 14-month low Tuesday. Gains were also spirited by the China Securities Journal news report that the central bank may ease monetary policy in the next several months.

Transaction turnover remain light as many participants awaiting sideline cautious ahead of the release of a raft of Chinese economic data later this week. China will release inflation data for August on Friday. Investors wanted to see data to gauge the market direction and to predict local government steps for inflation curbing measures.

Hong Kong benchmark Hang Seng index grew 1.7% to 20,048, inline with gains Mainland bourses and other Asian markets. Risk hunger investors picked up over beaten stocks, with China Construction Bank was best performer, adding 30 points to index, meanwhile ICBC added 28 points, HSBC Holdings 23 points, AIA 21 points, CNOOC 20 points, and China Mobile 19 points to the Hang Seng.

In India, the Bombay Stock Exchange benchmark SENSEX was trading 1.5% higher around late afternoon, on the back of positive cues from Asian peers. Buying was visible across the board helping the Sensex to cross the 17,000-mark.

Among other Asia-Pacific bourses, the South Korea KOSPI rose 3.78% to 1,833.46. The Taiwan TAIEX Index grew 2.2% at 7,529.01. Malaysia KLSE Composite advanced 0.7% to 1,464.61. The Singapore's Straits Times index jumped 2.08% at 2,832.13.