Asia shares gain amid higher commodity prices, G-20

Asia shares gain amid higher commodity prices, G-20

Tokyo: Asian markets mostly climbed on Thursday as higher oil and metals prices boosted commodity stocks and President Barack Obama called on world leaders at the Group of 20 (G-20) summit to work together to advance the economic recovery.

Oil jumped above $88 a barrel and prices for some metals were also higher as the dollar weakened against other major currencies.

Meetings of world leaders in South Korea on Thursday and Friday and in Japan on the weekend provided the background to trading.

Tensions over currencies and trade gaps are overhanging the Group of 20 and APEC summits as America’s move to flood its sluggish economy with $600 billion of cash and weaken the dollar triggers alarm in export-reliant nations from China to Germany.

Obama tried to defuse tensions, saying a strong US economy would help the rest of the world and called on other leaders to work in concert to craft a new economic order to replace one powered by the US running huge trade deficits while other countries accumulate vast surpluses.

Japan’s benchmark Nikkei 225 stock average was up 28.68 points, or 0.3%, at 9,859.20 and Hong Kong’s Hang Seng added 1% to 24,746.17.

Australia’s S&P/ASX 200 gained 0.7% to 4,732.20, China’s Shanghai Composite Index rose 0.8% to 3,139.28 and Singapore’s benchmark inched up 0.3% to 3,299.15.

Elsewhere, markets in Taiwan and Indonesia fell while shares in Malaysia and Thailand rose.

Asia’s advance followed slight gains in the US, where some investors were concerned about the international backlash against the Federal Reserve’s bond buying plan.

The Dow Jones industrial average rose 10.29, or 0.1%, to close at 11,357.04. The Dow had been down as many as 92 points earlier in the day.

The Standard & Poor’s 500 index added 5.31, or 0.4%, to 1,218.71, and the Nasdaq composite rose 15.80, or 0.6%, to 2,578.78.

In currencies, the dollar was little changed 82.09 yen from 82.10 yen late Wednesday in New York. The euro climbed to $1.3803 versus $1.3782.

Benchmark oil for December delivery was up 40 cents at $88.21 a barrel in electronic trading on the New York Mercantile Exchange. The contact jumped $1.09 to settle at $87.81 on Wednesday.