WELLINGTON, Jan 17 (Reuters) - Asian stocks are likely to
make a cautious start on Monday, as markets analyse the latest
move by China to tighten monetary policy and keep control of its
booming economy.
The world's second largest economy raised banks' reserve requirements for the fourth time in just over two months, with further tightening seen likely as the People's Bank of China steps up measures to control inflation.
The move sent gold prices lower and pushed equities in London and Europe down as commodity-sensitive stocks were hit.
The main Wall Street indices, however, closed up to 0.7 percent higher, as a solid result for JPMorgan Chase & Co lifted financial stocks.
The result raised expectations of a good earnings season for banks, with Bank of America, Goldman Sachs and Morgan Stanley all reporting this week.
Asian stocks listed on Wall Street edged 0.09 percent higher.
The euro maintained its strong run against the U.S. dollar in the wake of successful debt auctions for Spain and Portugal, which soothed euro zone debt concerns, with the single currency seen likely to post further gains. The dollar was a shade stronger against the yen.
The weaker currency may help Japanese markets to open firmer, after they retreated further from eight-month highs on Friday. Technical signals have pointed to the market being overheated and ripe for profit taking. However, Nikkei futures traded in Chicago 95 points above the last closing level in Osaka.
Australian stocks are set for a flat start, with share price index futures up 11 points to 4,801, virtually unchanged from the close of the underlying S&P/ASX 200 index.
HEADLINES: > US retail sales rise modestly, core prices tame > Banks lead S&P 500 to 7th week of Wall St gains > Fed officials say not yet time to remove stimulus > China's Hu upbeat, but resists US yuan concerns > US-China summit must deliver real results-Clinton > China raises bank reserves; more tightening seen > Irish PM calls confidence motion on leadership > Iran joins Venezuela, Libya, says $100 oil no harm > Russia opens Arctic to BP to remain top oil nation > On global markets, investors set for reality check > Investors hopeful of more strong US bank results > Etisalat says working to complete $12bn Zain deal > Berlusconi says in relationship, never paid for se
KEY INDEXES pct change
Bank of New York Asia ADR index +0.09
Dow Jones Industrial Average +0.47
Nasdaq Composite Index +0.73
Nikkei futures in Chicago 10,595
Nikkei futures in Osaka 10,500
TOP ASIA EVENTS:
For more Asian company earnings, see ASIA/EQTY
JAPAN - BoJ Governor Masaaki Shirawaka speech
- Consumer confidence for December
HONG KONG - PICC Property and Casualty Co Ltd
meeting
INDIA - Axis Bank Q3 results
- Larsen & Toubro Q3 results
(Reporting by Adrian Bathgate)
((adrian.bathgate@reuters.com; +64-4-4714233; Reuters Messaging: adrian.bathgate.reuters.com@reuters.net)) For top Asian company news, double click on: U.S. company news European company news U.S. weekly outlook European weekly outlook Forex news Global Economy news Tech/Telecoms/Media Banking news Political/General news Asia Macro data ASIA STOCK MARKETS: Pan-Asia........ Japan....... S.Korea... S.E. Asia....... Hong Kong... Taiwan.... Australia/NZ.... India....... China..... DIARIES & DATA: IPO diary/data Asia earnings diary U.S. earnings diary European diary Hong Kong diary Wall Street Week Ahead Eurostocks Week Ahead LIVE PRICES & DATA: World Stocks Asian Stocks Dow Jones/NASDAQ / Nikkei FTSE 100 Debt Currency rates Keywords: MARKETS ASIA/ (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
The world's second largest economy raised banks' reserve requirements for the fourth time in just over two months, with further tightening seen likely as the People's Bank of China steps up measures to control inflation.
The move sent gold prices lower and pushed equities in London and Europe down as commodity-sensitive stocks were hit.
The main Wall Street indices, however, closed up to 0.7 percent higher, as a solid result for JPMorgan Chase & Co lifted financial stocks.
The result raised expectations of a good earnings season for banks, with Bank of America, Goldman Sachs and Morgan Stanley all reporting this week.
Asian stocks listed on Wall Street edged 0.09 percent higher.
The euro maintained its strong run against the U.S. dollar in the wake of successful debt auctions for Spain and Portugal, which soothed euro zone debt concerns, with the single currency seen likely to post further gains. The dollar was a shade stronger against the yen.
The weaker currency may help Japanese markets to open firmer, after they retreated further from eight-month highs on Friday. Technical signals have pointed to the market being overheated and ripe for profit taking. However, Nikkei futures traded in Chicago 95 points above the last closing level in Osaka.
Australian stocks are set for a flat start, with share price index futures up 11 points to 4,801, virtually unchanged from the close of the underlying S&P/ASX 200 index.
HEADLINES: > US retail sales rise modestly, core prices tame > Banks lead S&P 500 to 7th week of Wall St gains > Fed officials say not yet time to remove stimulus > China's Hu upbeat, but resists US yuan concerns > US-China summit must deliver real results-Clinton > China raises bank reserves; more tightening seen > Irish PM calls confidence motion on leadership > Iran joins Venezuela, Libya, says $100 oil no harm > Russia opens Arctic to BP to remain top oil nation > On global markets, investors set for reality check > Investors hopeful of more strong US bank results > Etisalat says working to complete $12bn Zain deal > Berlusconi says in relationship, never paid for se
KEY INDEXES pct change
Bank of New York Asia ADR index +0.09
Dow Jones Industrial Average +0.47
Nasdaq Composite Index +0.73
Nikkei futures in Chicago 10,595
Nikkei futures in Osaka 10,500
TOP ASIA EVENTS:
For more Asian company earnings, see ASIA/EQTY
JAPAN - BoJ Governor Masaaki Shirawaka speech
- Consumer confidence for December
HONG KONG - PICC Property and Casualty Co Ltd
meeting
INDIA - Axis Bank Q3 results
- Larsen & Toubro Q3 results
(Reporting by Adrian Bathgate)
((adrian.bathgate@reuters.com; +64-4-4714233; Reuters Messaging: adrian.bathgate.reuters.com@reuters.net)) For top Asian company news, double click on: U.S. company news European company news U.S. weekly outlook European weekly outlook Forex news Global Economy news Tech/Telecoms/Media Banking news Political/General news Asia Macro data ASIA STOCK MARKETS: Pan-Asia........ Japan....... S.Korea... S.E. Asia....... Hong Kong... Taiwan.... Australia/NZ.... India....... China..... DIARIES & DATA: IPO diary/data Asia earnings diary U.S. earnings diary European diary Hong Kong diary Wall Street Week Ahead Eurostocks Week Ahead LIVE PRICES & DATA: World Stocks Asian Stocks Dow Jones/NASDAQ / Nikkei FTSE 100 Debt Currency rates Keywords: MARKETS ASIA/ (If you have a query or comment on this story, send an email to news.feedback.asia@thomsonreuters.com) COPYRIGHT Copyright Thomson Reuters 2011. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.