March 2, 2016 - 12:58 PM EST
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Asian Markets Extend Gains

CANBERA (dpa-AFX) - Asian stock markets, with the exception of

Hong Kong
, are extending gains on Thursday from the previous session amid improved risk appetite, following the positive cues overnight from Wall Street and higher crude oil prices. Upbeat
U.S.
private sector employment data has further boosted optimism over the US economy.

The Australian market rose almost 1 percent, with banks and resources stocks among the leading gainers.

In late-morning trades, the benchmark S&P/ASX 200 Index is adding 46.10 points or 0.92 percent to 5,067.30, off a high of 5,074.20 earlier. The broader All Ordinaries Index is advancing 44.80 points or 0.88 percent to 5,128.30.

In the mining sector, Rio Tinto is rising 2 percent and Fortescue Metals is higher by more than 6 percent.

BHP Billiton's Samarco joint venture will pay up to $2.3 billion over six years under a settlement with Brazilian authorities over a deadly dam spill in November. Shares of BHP Billiton are rising more than 3 percent.

Among oil stocks, Oil Search is gaining 4 percent and Santos is adding more than 2 percent, while Woodside Petroleum is lower by 0.5 percent.

In the banking space, Westpac Banking, National Australia Bank, Commonwealth Bank and ANZ Banking are higher in a range of 1.1 percent to 2.6 percent.

Gold stocks are mixed. Newcrest Mining is adding 0.2 percent, while Evolution Mining is down 0.8 percent.

Treasury Wine Estates has raised its chief executive Michael Clarke's salary package by 29.4 percent. Shares of the company are rising 0.6 percent.

In economic news, the Australian Bureau of Statistics said that

Australia
had a seasonally adjusted merchandise trade deficit of A$2.937 billion in January. That beat forecasts for a shortfall of A$3.20 billion following the A$3.535 billion deficit in December.

Exports were up 1.0 percent on month to A$25.549 billion, while imports slipped 1.0 percent on month to A$28.487 billion.

The latest survey from the Australian Industry Group showed that the services sector in

Australia
swung to expansion in February, with a Performance of Service Index score of 51.8. That's up from 48.4 in January, and it moves above the boom-or-bust line of 50 that separates expansion from contraction.

In the currency market, the Australian dollar is higher against the

U.S.
dollar on Thursday following the release of better than expected Australian GDP data on Wednesday. In early trades, the local unit was trading at US$0.7296, up from US$0.7240 on Wednesday.

The Japanese market has recovered after opening lower, extending gains into a third straight session.

In late-morning trades, the benchmark Nikkei 225 Index is gaining 170.83 points or 1.02 percent to 16,917.38, after falling to a low of 16,691.94 in early trades.

The major exporters are higher despite a stronger yen. Panasonic and Sony are gaining more than 1 percent, while Canon is adding 1 percent. Electronics maker Sharp Corp. is higher by 0.8 percent.

Toshiba is advancing almost 10 percent after the Nikkei business daily reported that the company's lenders are likely to heed its request for additional loans.

Automaker Toyota is rising 1 percent. In the banking space, Mitsubishi UFJ Financial is rising 7 percent.

Among oil stocks, Inpex is rising more than 4 percent and refiner JX Holdings is up more than 2 percent.

Among the other major gainers, Mitsui OSK Lines is rising more than 8 percent, JFE Holdings is gaining more than 5 percent and Kawasaki Heavy Industries is up more than 4 percent.

Meanwhile, Comsys Holdings is losing 2.7 percent and Sumitomo Osaka Cement is down more than 2 percent.

In economic news, the latest survey from Nikkei showed that the services sector in

Japan
continued to expand in February, albeit at a slower pace, with a PMI score of 51.2.

That's down from 52.4 in January, although it remains above the boom-or-bust line of 50 that separates expansion from contraction. The composite index came in with a score of 51.0, down from 52.6 in the previous month.

In the currency market, the

U.S.
dollar traded in the mid 113 yen-level on Thursday, down from Wednesday's close in the lower 114 yen-range in
Tokyo
.

Elsewhere in

Asia
,
Singapore
is advancing 1.6 percent, while
Shanghai
and
New Zealand
are adding 0.8 percent each.
South Korea
,
Indonesia
,
Malaysia
and
Taiwan
are up with modest gains. Bucking the trend,
Hong Kong
is down 0.7 percent.

On Wall Street, stocks closed modestly higher on Wednesday, partly due to an increase in the price of crude oil, which has recently been a key driver of the markets. Traders also reacted positively to the release of upbeat private sector employment data from payroll processor ADP.

The Dow edged up 34.24 points or 0.2 percent to 16,899.32, the Nasdaq rose 13.83 points or 0.3 percent to 4,703.42 and the S&P 500 climbed 8.10 points or 0.4 percent to 1,986.45.

The major European markets turned in a mixed performance on Wednesday. While the

U.K.'s
FTSE 100 Index edged down by 0.1 percent, the French CAC 40 Index and the German DAX Index rose by 0.4 percent and 0.6 percent, respectively.

Crude oil added to recent gains after data showed that

U.S.
oil output has dwindled. Crude for April delivery rose $0.26 or 0.8 percent to a nearly two-month closing high of $34.66 a barrel on the New York Mercantile Exchange.

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Source: Equities.com News (March 2, 2016 - 12:58 PM EST)

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