Rising The asian stocks & The MSCI Asia Pacific index

Asian stocks rose for a second week of this month as steelmakers led gains after China refrained from raising interest rates and U.S. data improved in addition to The MSCI Asia Pacific index rose 0.4 percent to 133.59 this week. The indicator closed up three days of this week and rose to peak on 13 December, after China abstained from raising interest rates to cool inflation, U.S. reports on consumer confidence, the trade deficit and jobless claims exceeded forecasts.

BlueScope Steel Ltd., Australia's largest steelmaker, rose 9.1 percent in Sydney. Honda Motor Co., which has North America, its biggest market, gained 3 percent in Tokyo. China Overseas Land & Investment SA, controlled by the Ministry of Construction of the nation, lost 2.9 percent after a report that China will tighten controls in the housing market. HSBC Holdings Plc, Europe's biggest lender, fell 1.7 percent in Hong Kong after Moody's Investors Service placed Spain and Greece score credit in the review.

"Fears of a rise in interest rates in China have not come to fruition until now," said Tim Schroeders, who helps manage $ 1 billion in Melbourne in Pengana Capital Ltd. "There is a sense of relief in the markets . This may only be temporary and that the Chinese authorities are increasingly worried about inflationary pressures undermining the economy's growth prospects in the long term. "

. This may only be temporary and that the Chinese authorities are increasingly worried about inflationary pressures undermining the economy's growth prospects in the long term. "

Regional Benchmarks  

     -In Hong Kong Hang Seng index declined 1.9 percent, while the Shanghai Composite Index rose 1.9 percent this week. India's Sensitive rose 1.8 percent. The measure was closed on December 17 for a holiday.
     -In Japan, the Nikkei 225 Stock Average rose 0.9 percent, its seventh consecutive weekly gain and its longest winning streak since the eight-week period ended April 2. Australia S & P / ASX 200 rose 0.4 percent. Kospi index in South Korea rose 2 percent.


      -Steelmakers led gains this week, with an indicator to monitor the materials shares up 1 percent, the most among 10 industry groups in the MSCI index of Asia Pacific.
      -BlueScope Steel, which receives 22 percent of its sales in Asia rose 9.1 percent to $ 2.29 in Sydney. JFE Holdings Inc., Japan's second largest steelmaker, rose 2.7 percent to 2836 yen in Tokyo. JSW Steel Ltd., an Indian producer of the metal, rose 12 percent to 1,164.75 rupees in Mumbai.
     -While China's inflation accelerated at its fastest pace in 28 months in November, building the case for Prime Minister Wen Jiabao, to raise interest rates, instead of China ordered lenders on 10 December the park more money in the central bank to counter the threat of inflation.

more money in the central bank to counter the threat of inflation. 
Effective tool :
  
"The government seems to be using the reserve requirement at the time as an effective tool," said Hugh Simon, co-manager of the Dreyfus Greater China Fund, "They have to have some relief on inflation. The market is not expensive."
The MSCI Asia Pacific index has risen 11 percent this year, with stocks in the index by value of 14.8 times estimated earnings on average, compared with 23 times at the beginning of the year.
U.S. exporters gained after the data improves the U.S. economy increased the confidence of the recovery continues.
Honda, the second largest manufacturer in Japan by market value, gained 3 percent to 3.235 yen this week. Canon Inc., the world's largest camera maker, climbed 1 percent to 4.145 yen. James Hardie Industries SE, the largest seller of home siding in the U.S., up 2.5 percent to $ 6.68 in Sydney.

Consumer Confidence :

     Confidence among U.S. consumers increased more than expected in December to the highest level in six months at the same time, Americans began to increase holiday spending. The index of Thomson Reuters / University of Michigan preliminary consumer sentiment rose to 74.2 from 71.6 in late November. Economists expected a December reading of 72.5, according to the median estimate in a survey.
A Commerce Department report showed the U.S. trade deficit was reduced to $ 38,700,000,000 in October.
The number of U.S. workers filing initial claims for unemployment benefits unexpectedly fell last week, pointing to a labor market that is on the mend. Applications for payment of unemployment insurance fell 3,000 to 420,000, the lowest in three weeks, showed Labor Department figures. Economists expected an average increase in applications to 425,000.
U.S. Employment
China Overseas Land slipped 2.9 percent to $ 14.58 in Hong Kong. China Resources Land Ltd., a developer controlled by the state, declined 1.6 percent to $ 13.54 in Hong Kong. Guangzhou R & F Properties Co., the largest builder in the southern city of China, fell 1.9 percent to $ 10.64 in Hong Kong.
China will tighten controls on the housing market and curb speculative investment from next year until 2015, Xinhua News Agency reported on 16 December, citing China's Ministry of Housing and Urban-Rural Development.
"The bench of the property is likely to be a unit tax," said Andrew Sullivan, director of institutional sales OSK Securities Ltd. in Hong Kong "Some investors are locking in gains for the end of the year."
HSBC Holdings, which receives 36 percent of its revenue in Europe fell 1.7 percent to $ 80.15 in Hong Kong in Hong Kong. Li & Fung Ltd., which is the largest supplier of Wal-Mart Stores Inc. and gets 27 percent of its sales in Europe fell 2.3 percent to $ 43.80 in Hong Kong.
credit rating of Spain can be cut from Aa1 by Moody's Investors Service on concern about rising borrowing costs, the potential losses in the banking system and deficits in the regions of the country, the agency said that 15 of December.
Moody's also placed ratings Ba1 Greece of bonds on review for possible downgrade, citing growing concerns about whether the country will be able to reduce its debt to "sustainable levels" and the status of Ireland credit was reduced five levels by Moody's December 17, after last month the government was forced to seek outside help.