* China industrial output at 19-mth high; loans slow
* Australia dollar struggles to stay above US$0.9300
* HSBC stock climbs 5 pct after upbeat quarterly review
By Kevin Plumberg
HONG KONG, Nov 11 (Reuters) - Asian stocks rose for a
fourth day on Wednesday as reports showed Chinese factory
output jumped to a 19-month high in October, while the ailing
U.S. dollar hovered near a 15-month low.
The Australian dollar slid briefly below US$0.93 as other
data showed new loans from Chinese banks were halved compared
with September, leading dealers to take profits just before the
currency could retest its October highs.
Nevertheless, other indications of China's economy were
within expectations and gave no sign that the recovery that has
led the global economy is petering out. []
"China's recovery has extended into Q4 and this momentum
looks set to continue into 2010," said Brian Jackson,
strategist with Royal Bank of Canada in Hong Kong.
"Growth is still heavily reliant on policy stimulus, easy
liquidity and government-directed investment, but we expect to
see stronger external demand in the months ahead."
In the near term, further gains in equities may be getting
more difficult as the year end approaches and some investors
look to take profits from this year's strong rally. Asian and
global stocks had gained about 4 percent in the last week
alone.
U.S. markets also struggled to build on gains overnight,
mostly closing slightly lower. []
The MSCI index of Asia Pacific stocks outside Japan
<.MIAPJ0000PUS> was up 0.4 percent on Wednesday, with the
materials and consumer staples sectors outperforming, while
Japan's Nikkei <> rose 0.2 percent.
The Thomson Reuters index of regional shares <.TRXFLDAXPU>
was down 0.15 percent.
Hong Kong's Hang Seng index <> rose 1.2 percent to
within striking distance of its October high.
Shares of HSBC <0005.HK> <HSBA.L> were the top boost to the
index, surging 4.7 percent after Europe's top lender said
overnight it saw its first improvement in three years in U.S.
consumer credit. []
In currency markets, the U.S. dollar remained under
pressure, though some analysts began to anticipate a corrective
move higher as market participants begin to price in the fading
effect of stimulus spending around the world.
"The USD correction, when it happens, is likely to be
particularly vicious versus the Australian dollar (AUD), New
Zealand dollar (NZD), Canadian dollar (CAD), South African rand
(ZAR), and Brazilian real (BRL) given market positioning and
valuations," Standard Chartered strategists said in a note.
The ICE Futures U.S. dollar index <.DXY>, a measure of its
value against six other major currencies, slipped 0.1 percent
to its lowest since August 8.
The index is down 7.7 percent so far this year.
Oil <CLc1> edged above $79 a barrel, after dipping a day
earlier, as signs of robust economic growth in China offset
mildly bearish U.S. industry data showing surprise increases in
crude and distillate stockpiles.
(Editing by Kim Coghill)
