Asia shares extend gains; wary eye on Japan yields

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SYDNEY : Asian shares looked to end the month on a firm note on Monday in a week littered with major economic releases, central bank meetings and earnings updates from mega caps Amazon and Apple, though rising Japanese bond yields were a risk.The early impetus for shares was positive following Friday's U.

SYDNEY : Asian shares looked to end the month on a firm note on Monday in a week littered with major economic releases, central bank meetings and earnings updates from mega caps Amazon and Apple, though rising Japanese bond yields were a risk.

Figures due this week include the U.S. ISM surveys on manufacturing and services, the July payrolls report and European inflation. China factory surveys are due later on Monday. S&P 500 futures added another 0.1 per cent on Monday, bringing its gains for July to almost 3 per cent, with Nasdaq futures up 0.2 per cent.

Early on Monday, MSCI's broadest index of Asia-Pacific shares outside Japan edged up 0.1 per cent, having gained 4.9 per cent so far in July to reach a five-month high.Japan's Nikkei rose 1.0 per cent to re-take the 33,000 level and nudge closer to its recent three-decade peak. Japanese 10-year yields climbed further to 0.6 per cent on Monday, still short of the new cap of 1.0 per cent and limiting the boost to the yen. While the yen initially rallied on the BOJ move, it soon reversed course, and the dollar climbed from 138.05 yen to as high as 141.18 late on Friday.

 

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