Breaking News, World News and Taiwan News.

Updated Tuesday, February 21, 2012 0:05 am TWN, AP and AFP

Sponsors
▪	Find great real time deals on China Flights. Book flights to China or China domestic flights 24/7.
▪	Buy china wholesale products from reliable chinese wholesalers on DHgate.com!
▪	Save 75% for all hotels in Shanghai, Beijing and whole China. Lowest rates for Flights in China.
▪	Get the best deals for Guangzhou Hotels or choose from more than 10,000 hotels in 499 Chinese cities.

China's moves to boost economy spur rises across global markets

LONDON/HONG KONG--World stock markets climbed Monday after China moved to boost its economy by freeing up bank lending and hopes grew that Greece will clinch the aid it needs to avoid bankruptcy.

European shares were higher in early trading. Britain's FTSE 100 rose 0.6 percent to 5,939.61. Germany's DAX added 0.5 percent to 6,884.36 and France's CAC-40 gained 0.6 percent 3,460.42. Markets in the U.S. are closed Monday for the Presidents' Day long weekend.

The gains followed a solid session in Asia. Japan's Nikkei 225 index added 1.1 percent to close at 9,485.09, its highest closing level of the year. South Korea's KOSPI rose slightly to 2,024.90. Australia's S&P/ASX 200 gained 1.4 percent to 4,256.10. Benchmarks in Singapore, Taiwan and the Philippines also rose.

Mainland China's benchmark Shanghai Composite Index climbed 0.3 percent to 2,363.60 after gaining more than 1 percent earlier in the day, while the Shenzhen Composite Index gained 0.3 percent to 923.32.

Hong Kong's Hang Seng dipped 0.3 percent to 21,424.79. Indonesia's benchmark index also fell.

China's central bank said over the weekend it will lower the ratio of funds that banks must hold as reserves to 20.5 percent from 21 percent, effective Friday. That will free up tens of billions of dollars for loans at a time when the growth rate is expected to drop from last quarter's 8.9 percent to closer to 8 percent. The cut is the second in two months.

Investors hoping for more lending in the real estate sector pushed up Chinese property shares and banks. Hong Kong-listed China Resources Land Ltd. rose 1 percent and China Overseas Land & Investment Ltd. added 1.3 percent. China Construction Bank Corp. added 1.1 percent.

“Even last year in a very tough market, Chinese property stocks were still making profits. This year, a lot of people would say if we are in a more loosening environment, they should be able to make better profits,” said Jackson Wong, vice president at Tanrich Securities in Hong Kong.

But Zhejiang Supor Co. Ltd., China's largest manufacturer of cookware by market share, lost 2.4 percent following news reports that part of the company's cookware range contains excessive amounts of manganese.

Japan's industrial and electronics sectors jumped on hopes for growth in China, a major trading partner. Heavy equipment maker Komatsu Ltd. gained 3 percent. Sony Corp. soared 3.6 percent. Yamaha Motor Corp. jumped 3.1 percent.

Australian resource shares also rose on hopes for strong demand from China. BHP Billiton Ltd. gained 2.3 percent and rival Rio Tinto Ltd. rose 2.2 percent.

Market sentiment in Asia was also boosted by a strong showing on Wall Street on Friday.

1|2|Next Page>>