WELLINGTON, March 7 (Reuters) - Asian stocks are set to
struggle on Monday as escalating violence in Libya sent oil
prices higher and damaged the appetite for growth-sensitive
assets in favour of safe-haven positions.
Worries about simmering Middle East tensions grew with the intensifying conflict in Libya over the weekend, a return of protestors to the streets of Egypt, and the banning of protests in Saudi Arabia, the world's top oil exporter, to stifle any local protests.
Oil prices climbed to their highest in more than two years while gold, a traditional safe haven, rose 1 percent to near record-highs on Friday.
The main Wall Street indices fell between 0.5 percent and 0.7 percent, with the geopolitical issues overshadowing jobs data that was seen as solid but not spectacular.
Wall Street's so-called fear gauge, the CBOE Volatility Index VIX, rose 2.7 percent to 19.11.
Bank shares fell after Bank of America Merrill Lynch downgraded sector heavyweights Goldman Sachs and Citigroup Inc on expectations of lower earnings.
Asian stocks listed on Wall Street fell 0.57 percent.
British shares slipped 0.2 percent while European shares shed 0.6 percent, with investors booking profits after recent rallies.
The euro continued its run-up against the U.S. dollar on expectations interest rates in the euro zone will rise as early as next month, with the U.S. jobs data, with the yen slightly stronger against the greenback.
Japanese markets are set to hand back some of last week's gains, with Nikkei futures traded in Chicago 50 points below the last closing level in Osaka. The Nikkei's immediate technical support level is seen around the 25-day moving average of 10,597.70.
Australian stocks are also set to reverse Friday's positive session, with share price index futures down 28 points to 4,836, a 28.3 point discount to the close of the underlying S&P/ASX 200 index.
HEADLINES: > Gaddafi launches counter-offensive on Libya rebels > White House considers tapping oil reserves > Food may eclipse oil as spending threat > Glencore seen choosing chrman as banks vie for IPO > China says cannot lower guard against inflation > Top Democrat draws line in sand in US budget fight > U.S. apology for Afghan deaths 'not enough'-Karzai > Ireland aims to woo Europe with fiscal obedience > Japan foreign min quits in fresh blow to PM > Consultant: precious metals prices may go higher > India Congress tries to woo back coalition ally > NZ quake to cost up to $11 billion - FinMin > Internet value pops can't be extrapolated for ever
KEY INDEXES pct change
Bank of New York Asia ADR index -0.57
Dow Jones Industrial Average -0.72
Nasdaq Composite Index -0.50
Nikkei futures in Chicago 10,650
Nikkei futures in Osaka 10,700
TOP ASIA EVENTS:
For more Asian company earnings, see ASIA/EQTY
JAPAN - Foreign reserves at end of February
- Leading indicator for January
HONG KONG - World retail congress
- Asian aerospace congress
(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.
Worries about simmering Middle East tensions grew with the intensifying conflict in Libya over the weekend, a return of protestors to the streets of Egypt, and the banning of protests in Saudi Arabia, the world's top oil exporter, to stifle any local protests.
Oil prices climbed to their highest in more than two years while gold, a traditional safe haven, rose 1 percent to near record-highs on Friday.
The main Wall Street indices fell between 0.5 percent and 0.7 percent, with the geopolitical issues overshadowing jobs data that was seen as solid but not spectacular.
Wall Street's so-called fear gauge, the CBOE Volatility Index VIX, rose 2.7 percent to 19.11.
Bank shares fell after Bank of America Merrill Lynch downgraded sector heavyweights Goldman Sachs and Citigroup Inc on expectations of lower earnings.
Asian stocks listed on Wall Street fell 0.57 percent.
British shares slipped 0.2 percent while European shares shed 0.6 percent, with investors booking profits after recent rallies.
The euro continued its run-up against the U.S. dollar on expectations interest rates in the euro zone will rise as early as next month, with the U.S. jobs data, with the yen slightly stronger against the greenback.
Japanese markets are set to hand back some of last week's gains, with Nikkei futures traded in Chicago 50 points below the last closing level in Osaka. The Nikkei's immediate technical support level is seen around the 25-day moving average of 10,597.70.
Australian stocks are also set to reverse Friday's positive session, with share price index futures down 28 points to 4,836, a 28.3 point discount to the close of the underlying S&P/ASX 200 index.
HEADLINES: > Gaddafi launches counter-offensive on Libya rebels > White House considers tapping oil reserves > Food may eclipse oil as spending threat > Glencore seen choosing chrman as banks vie for IPO > China says cannot lower guard against inflation > Top Democrat draws line in sand in US budget fight > U.S. apology for Afghan deaths 'not enough'-Karzai > Ireland aims to woo Europe with fiscal obedience > Japan foreign min quits in fresh blow to PM > Consultant: precious metals prices may go higher > India Congress tries to woo back coalition ally > NZ quake to cost up to $11 billion - FinMin > Internet value pops can't be extrapolated for ever
KEY INDEXES pct change
Bank of New York Asia ADR index -0.57
Dow Jones Industrial Average -0.72
Nasdaq Composite Index -0.50
Nikkei futures in Chicago 10,650
Nikkei futures in Osaka 10,700
TOP ASIA EVENTS:
For more Asian company earnings, see ASIA/EQTY
JAPAN - Foreign reserves at end of February
- Leading indicator for January
HONG KONG - World retail congress
- Asian aerospace congress
(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.