SHANGHAI (XFN-ASIA) - China A-shares ended the morning higher in the first trading session of 2009, spurred by Friday's strong rally on Wall Street.And more from Forbes.
Resources stocks were in favor after a rebound in global commodities prices, dealers said.
Telecom stocks gained on news that China's cabinet, the State Council, approved the issuance of third generation mobile phone licenses on Dec 31.
Steelmakers and automakers also got a boost from hopes that government will soon announce detailed plans to support both sectors.
The benchmark Shanghai Composite Index ended the morning up 39.04 points or 2.14 pct at 1,859.84 after losing 9.8 pct over the previous eight trading days.
The Chinese markets were closed on Thursday and Friday for the New Year holidays.
BANGKOK, Jan 5 (Reuters) - Thailand's stock index was up 2.96 percent at 463.28 at 0339 GMT on Monday, the first trading day of the year. The index opened up more than 2.3 percent, cheered by strong gains in U.S. and Asian stocks, brokers said.Immediately aftewards came this from Paul Krugman.
ENERGY BIG CAPS RALLY AS OIL PRICES RISE
A jump in the oil price helped heavyweight energy shares lead the market rally, with oil and gas majors PTT up 4.57 percent at 183 baht, PTT Exploration and Production up 6.5 percent at 114 baht and coal miner Banpu up 7 percent at 244 baht.
Investors snapped up battered banking shares, with top lender Bangkok Bank rising 2.2 percent to 70.50. Number three Kasikornbank gained 3.3 percent to 46.50 baht and fourth-ranked Siam Commercial Bank rose 3.6 percent to 50 baht.
Recent economic numbers have been terrifying, not just in the United States but around the world. Manufacturing, in particular, is plunging everywhere. Banks aren’t lending; businesses and consumers aren’t spending. Let’s not mince words: This looks an awful lot like the beginning of a second Great Depression. …
Here’s my nightmare scenario: It takes Congress months to pass a stimulus plan, and the legislation that actually emerges is too cautious. As a result, the economy plunges for most of 2009, and when the plan finally starts to kick in, it’s only enough to slow the descent, not stop it. Meanwhile, deflation is setting in, while businesses and consumers start to base their spending plans on the expectation of a permanently depressed economy — well, you can see where this is going.
So this is our moment of truth. Will we in fact do what’s necessary to prevent Great Depression II?