Market Report - Australia's Economy Grows

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Uploaded by on Jun 4, 2009

Modest but surprising growth in Australia and firm U.S. housing demand lifted Asian shares near eight-month highs today.

Australia's economy grew by a stronger-than-expected 0.4 percent pace, a stark contrast to fears it had fallen into recession.

The nation's central bank left rates on hold Tuesday ahead of the GDP announcement.

Major Australian banks gained on the economic news, while commodities-linked firms like Rio Tinto continued to rise.

In Japan stocks edged higher with Komatsu gaining after a Nikkei report saying it plans to assemble diesel-hybrid excavators in China to meet local demand.

The strength of the yen against the dollar continued. It has been the prime loser in an Asian risk-taking rally.

But the greenback traded near its weakest level this year against a basket of six currencies with the Aussie dollar at a eight-month peak.

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  • awesome

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