Tokyo markets see gains

Tokyo’s equities markets were higher on Monday, helped by hopes that a US bond insurer will not have its credit rating cut after all, which was good news for the US economy and by extension for global economies. The Nikkei 225 added 3.07 percent to 13,914.57 while the Topix index was up 2.59 percent to 1,355.54 and the Mothers market was 0.5 percent higher to 687.25. Tokyo’s insurance sector saw gains on earnings that were better than had been anticipated. The oil sector was up on bids news, and the electronics sector also saw advances.

Elsewhere, Asia-Pacific markets were mixed on the session. The FTSE Straits Times Index was up 0.53 percent to 3,064.95. In Australia the Sydney Ordinaries added 0.98 percent to 5,699.8 while the S&P/ASX200 was 1.11 percent higher to 5,621.6. South Korea’s Kospi gained 1.34 percent to 1,709.13. The Sensex was up 1.74 percent to 17,650.57 and the Taiex added 2.19 percent to 8,286.31. On the other hand, the Hang Seng fell 0.15 percent to 23,269.14 and the Shanghai Composite dropped 4.07 percent to 4,192.53.

European markets saw gains. The Eurofirst 300 added 1.68 percent to 1,342.26. Madrid’s IBEX was up 1.07 percent to 13,156.6 and the Dax was 1.12 percent higher to 6,882.56 while the Paris CAC-40 gained 1.96 percent to 4,919.26. There were only two decliners on the CAC-40, including utilities, while only one company, a medical device manufacturer, fell on the Dax. Otherwise, the biggest winners included banks, airlines, builders, and the aerospace sector.

In London, the FTSE 100 added 1.89 percent to 5,999.5 and the FTSE 250 was up 2.23 percent to 10,275.3. Banks were higher on acquisitions rumors in the sector, while homebuilders, airlines, and the retail sector all saw gains as well. The oil sector was mixed but mostly higher, while miners were also mixed but led the losers on the 100.

Wall Street was higher in afternoon trade, but gains were limited by more concerns about the subprime mortage crisis. The Dow Jones Industrial Average was 0.49 percent higher to 12,442.16 and the Nasdaq Composite had added 0.14 percent to 2,306.55 while the S&P 500 had gained 1,357.19. Investment banks saw declines on a report from Goldman Sachs (NYSE: GS) that there are more writedowns to come in the sector. Meanwhile, bond insurers were lower on rumors that any rescue deal will not come until early next week at the soonest. The oil sector was higher on oil prices that remained above $99 per barrel.

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