Epic Research

Thursday, December 20, 2012

Epic Update : Asian markets

Asian shares eased on Thursday after rallying to their highest in nearly 17 months the day before, while commodities fell as talks to avert a US fiscal crisis stalled Asian shares eased on Thursday after rallying to their highest in nearly 17 months the day before, while commodities fell as talks to avert a US fiscal crisis stalled - prompting worries of the world's largest economy sliding back into recession.

Australian shares defied the general bearish trend to add 0.5 per cent to a 17-month high and Seoul shares rose 0.3 per cent on speculation conservative Park Geun-hye's victory in the presidential election would pave the way for fresh stimulus measures from the government. 

The Nikkei stock average slumped 1 per cent after closing Wednesday up 2.4 per cent and above the key 10,000 level for the first time since April, as expectations for more easing weakened the yen, which improves earnings prospects for Japanese exporters.

The Bank of Japan is expected to deliver its third dose of monetary stimulus in four months on Thursday in a prelude to more aggressive action next year, as it faces intensifying pressure from the country's next leader for stronger efforts to beat deflation.

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