Asian stocks gave up some gains
City Index January 27, 2012 10:30 AM
<p>Asian stocks were mostly higher although by modest amounts in afternoon trading. Chinese markets remained close. The MSCI Asia Pacific index was 0.1% higher at […]</p>
Asian stocks were mostly higher although by modest amounts in afternoon trading. Chinese markets remained close. The MSCI Asia Pacific index was 0.1% higher at noon in Tokyo.
As anticipated the latest set of meetings minutes from the Bank of Japan suggested currency intervention. The Japanese Yen declined initially but regained ground shortly afterwards.
The US dollar was last trading at 76.93 against the Yen. Japan’s Prime Minster said he also expects the central bank to take bold policy actions to address the currency appreciation.
In other currencies, the Australian dollar continued its rise, last trading at 1.061 against the US dollar while the Euro fell slightly below 1.31 against the US dollar as discussions over a Greek debt swap deal continue.
Sources said the talks made some progress yesterday, according to the Institute of International Finance, which is the body representing creditors in the negotiations.
In commodities, both gold and copper managed to consolidate their recent gains while silver slipped slightly.
In regional corporate news, Honda’s President Takanobu Ito said he expects the company’s earnings to climb to their highest levels in five years despite the supply disruptions facing car makers this year. Ito said operating earnings in the year ending March next year are due to recover to levels pre the collapse of Lehman Brothers in September 2008. The comments on face value seem to exceed consensus market expectations by a large amount.
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