* Asian stocks rise on promising China data
* Hong Kong stocks ride on China optimism, Wall Street
* Japanese Yen dips against dollar, boosts Nikkei
(Repeats to more subscribers)
By Kevin Yao
SINGAPORE, Dec 11 (Reuters) - Asian stocks, oil and most
metals rose on Friday after a slew of Chinese data showed the
world's third-largest economy is on a brisk recovery path,
while the yen dipped against the dollar.
Shares in Europe were also expected to open higher, spurred
by China and gains on Wall Street overnight as investors
reacted to a raft of upbeat economic reports. U.S. stock
futures <SPc1> rose 0.6 percent.
China's strong rebound from the global downturn has boosted
many of its Asian neighbours and buoyed markets from equities
to commodities, even as consumer demand in the region's key
Western export markets remains sluggish.
Stocks in Hong Kong, a key gateway to China for
international investors, led regional gains with a jump of 1.7
percent <>. Property stocks were particularly firm after a
recent sell-off, with Hang Lung Properties <0101.HK> surging
3.3 percent.
"The market was crazy, with the index jumping a few hundred
points after the (China) data with banks and automobiles
leading the rebound," said Francis Lun, general manager at
Fulbright Securities.
But the Shanghai Composite Index <> gave up early
gains as investors took profits.
China reported on Friday that industrial growth in November
accelerated to 19.2 percent from a year earlier, beating market
expectations and its fastest pace since June 2007, while
investment expansion remained robust.
Chinese imports surged 26.7 percent, their first rise in 13
months, though exports disappointed slightly with a drop of 1.2
percent. []
The MSCI index of Asia Pacific stocks outside Japan rose
almost 0.9 percent <.MIAPJ0000PUS>, with the energy sector
providing the biggest lift as data showed Chinese refiners
processed crude oil at a record rate last month, underlining
signs that global energy demand is picking up along with the
economic recovery.
The Thomson Reuters index of Asia ex-Japan equities was
also up 0.9 percent <.TRXFLDAXPU>.
The MSCI ex-Japan index has jumped 65 percent this year
despite a consolidation that set in around mid-October as some
investors feared share valuations may have outpaced economic
fundamentals.
A decline in the U.S. October trade deficit also reassured
investors on Friday that the world's largest economy was on a
steady albeit slow recovery path.
Japan's Nikkei share average <> rose almost 2.5
percent as the Chinese data boosted sentiment and as a weaker
yen helped exporters such as TDK Corp <6762.T>, which surged
more than 6 percent.
The yen lost ground against the dollar, dented by a rise in
sterling after Moody's analysts said there was no threat to
reatings of the UK and United States at the moment. Traders
said investors were looking for reasons to liquidate long yen
positions as business winds down for the year. []
The dollar rose 0.5 percent to 88.68 yen <JPY=> and the
euro was up 0.9 percent at 131.04 yen <EURJPY=R>. It was steady
at $1.4725 <EUR=>.
The dollar index, a gauge of its performance against six
major currencies, was little changed at 76.049 <.DXY>.
CHINA, MANY OTHER EMERGING MARKETS THRIVING
Other data released on Friday showed the Chinese economy
has also tentatively shaken off a bout of profit-eating
deflation as the consumer price index turned positive in
November after nine straight months of declines.
Emerging markets like China have dominated investment fund
flows this year as they snap back from the global downturn
faster and more decisively than large advanced economies.
Emerging market stock funds have seen inflows of $75
billion so far this year as countries like China snap back from
the slowdown, contrasting with the $83 billion redeemed from
combined developed market equity funds, EPFR Global, which
tracks funds, said on Friday. []
Equity funds focused on Brazil, Russia, India and China
extended their inflow streak to 13 consecutive weeks in the
week to Dec 9, EPFR reported.
Gold prices rose towards $1,140 an ounce as the dollar
steadied. Still, gold prices have slipped nearly 8 percent from
an all-time high of $1,226.1 on Dec 3 as the dollar rallied
last week, contrary to market expectations.
Copper futures <MCU3> rose 0.5 percent following six days
of losses, with gains bolstered by the China data.
Chinese buying, a weaker dollar and a surge by investors
into commodities have boosted copper prices more than 120
percent this year, but further gains are likely to be tepid as
trading activity slows down as the year draws to a close.
U.S. crude for January delivery <CLc1> rose 33 cents to
$70.87 a barrel after hitting a two-month low on Thursday, its
seventh straight losing session as ample supplies stoked
worries about weak demand.
(Additional reporting by Donny Kwok in HONG KONG, Editing by
Kim Coghill)
