European Stocks Near 7-Year High as Greek Shares Drop Amid Talks

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European stocks traded near a seven-year high, while Greek shares fell on skepticism that a debt agreement is within reach.

The Stoxx Europe 600 Index slid 0.1 percent to 376.55 at the close of trading in London, following a drop of as much as 0.3 percent. Greece™s ASE Index lost 3.8 percent, the most among 18 western-European markets, as German Finance Minister Wolfgang Schaeuble said on Deutschlandradio that weekend discussions failed to make sufficient progress in identifying common ground. Europe™s finance ministers met again in Brussels on Monday to discuss financing for the region™s most indebted state.

Greek lenders slid the most in the Stoxx 600 on Monday, with National Bank of Greece SA, Piraeus Bank SA and Eurobank Ergasias SA down more than 12 percent. The volume of Stoxx 600 shares changing hands was 35 percent lower than the 30-day average. The U.S. market was closed for a holiday.

Source : Bloomberg

Asian Stocks Follow U.S. Shares Higher as Japan Exits Recession

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Asian stocks rose as data showed Japan™s economy exiting recession, with the Nikkei 225 Stock Average closing above 18,000 for the first time since 2007. Financial shares led the advance.

Mitsubishi UFJ Financial Group Inc., Japan™s biggest lender, gained 3.1 percent as the biggest boost to the regional index. Electric-car maker BYD Co. jumped 11 percent in Hong Kong on speculation Apple Inc. will enter the industry. Noble Group Ltd. slumped 8.3 percent after the trading company rejected a research report questioning its accounting practices. Utilities were the only group on the MSCI Asia Pacific Index to decline, with New Zealand™s Contact Energy Ltd. dropping 9 percent after first-half profit plunged.

The MSCI Asia Pacific Index added 0.3 percent to 143.37 as of 4:03 p.m. in Hong Kong. The Topix index rose 0.7 percent after Japan™s gross domestic product increased at an annualized 2.2 percent in the three months ended Dec. 31 after a two-quarter contraction. Analysts surveyed by Bloomberg News expected a 3.7 percent increase.

Japan fell into recession after Prime Minister Shinzo Abe increased the sales tax in April. Business spending in the three months ended Dec. 31 rose 0.1 percent from the previous quarter, while private consumption increased 0.3 percent.

Source : Bloomberg

Hong Kong Shares End 0.18% Higher

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Hong Kong stocks added 0.18 percent Monday following a record close on Wall Street as investors await crunch talks between Greece and its creditors over plans to overhaul its bailout.

The benchmark Hang Seng Index gained 43.99 points to 24,726.53 on turnover of HK$51.27 billion ($6.62 billion).

The S&P 500 ended 0.41 percent up at a new record high, while the Dow added 0.26 percent to break 18,000 for the first time this year. The Nasdaq advanced 0.75 percent

China Resources Land rose 1.23 percent to HK$20.60, Cheung Kong added 1.07 percent to HK$151.50 and Internet firm Tencent gained 0.23 percent to HK$130.50.

HSBC dipped 0.07 percent to HK$71.70, insurer AIA ticked up 0.11 percent to HK$44.50 and SinoPec put on 0.33 percent to HK$6.17.

The benchmark Shanghai Composite Index rose 0.58 percent, or 18.53 points, to 3,222.36 on turnover of 266.0 billion yuan ($42.7 billion).

The Shenzhen Composite Index, which tracks stocks on China's second exchange, jumped 1.94 percent, or 30.49 points, to 1,600.05 on turnover of 266.3 billion yuan.

Security software developer Yonyou Network Technology soared by its 10 percent daily limit to 42.69 yuan in Shanghai.

Shanghai-listed China United Network Communications also jumped 10 percent to 5.34 yuan as investors bet on the possibility of parent China Unicom merging with competitor China Telecom. Unicom has denied the speculation.

Taxi operator Dazhong Transportation Group rose 1.87 percent to 11.43 yuan in Shanghai while electronic map developer NavInfo shot up 10 percent to 28.88 yuan in Shenzhen.

Source: AFP

Aust dollar steady at noon

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The Australian dollar is relatively steady with no significant economic data or events to drive the currency market.

At 12.00pm (AEDT) on Monday, the local unit was at US77.79c, down from US77.87c on Friday.

During the morning it traded in a tight range, between US77.58c and US77.83c.

With US markets closed for the Presidents' Day holiday on Monday night, Australian time, trade has been uneventful, OANDA Asia Pacific senior trader Stephen Innes said.

Source : businessspectator