Asia shares up, oil hits 1-year high

Asia shares up, oil hits 1-year high

Hong Kong: Asian shares hovered near 14-month highs on Monday, shaking off an early dip after disappointing earnings from US corporate bellwethers such as General Electric Co. spurred some investors to take profits.

Oil prices pushed up to a one-year high of $79.05 (Rs3,660), before retreating a bit, giving boost to energy-related shares and helping stocks around the region recover from early selling of financial stocks.

South Korean tech exporters such as Samsung Electronics Co. Ltd also rose on a weaker won, helping lift the Kospi 0.5%.

The dollar slipped broadly, approaching a 14-month low against the euro as the US unit remained under selling pressure on expectations US interest rates will stay low for months to come.

Company earnings remain in focus as some 135 of the US S&P 500 report quarterly results this week, with the battered financial sector expected to post the highest growth rate, according to Thomson Reuters data.

The benchmark MSCI Index of Asia-Pacific shares outside Japan rose about 0.5%, not far from its 14-month peak hit last Thursday. So far this year, the gauge has risen around 66%.

Japan’s Nikkei average edged down 0.2%, paring most of its losses in late trade as short-covering emerged and most other Asian share markets rose.

Shanghai and Hong Kong stocks rose on expectations China’s third quarter growth probably beat forecasts.

Hong Kong’s Hang Seng Index rose 1.2% to its highest close since 1 August 2008. Taiwan stocks rose 0.5%.Singapore shares rose a tad. The Indian market was closed for a public holiday.

Australian stocks slid 0.9% as investors took profits in the top banks following a sharp run-up that priced them for strong growth.