Asian Stocks Rise After Greek Lawmakers Approve Austerity Steps

Asian stocks rose, with the regional gauge set for a two-week high, after Greek lawmakers passed a bailout agreement and investors weighed comments from Federal Reserve Chair Janet Yellen on the timing of rate increases.

Mitsubishi Chemical Holdings Corp. jumped 5.3 percent in Tokyo after saying it’s considering merging three units. China Overseas Land & Investment Ltd. climbed 4.3 percent, pacing gains among Chinese developers in Hong Kong, after reporting an increase in home sales for June. Daewoo Shipbuilding & Marine Engineering Co. dropped 6.5 percent in Seoul after Shinyoung Securities Co. downgraded its rating on the world’s second-largest shipbuilder.

The MSCI Asia Pacific Index gained 0.5 percent to 144.23 as of 4:03 p.m. in Hong Kong, heading for the highest close since July 3. Greece’s vote puts the onus on the ECB and other euro-region governments to deploy more emergency funds that will help Greek banks re-open. The new austerity measures are a precondition for as much as 86 billion euros ($ 94 billion) in aid. Yellen was upbeat on the economy and repeated that the Fed will probably raise its main interest rate this year.

Source: Bloomberg

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Asian Stocks Rise as Greek Lawmakers Approve Austerity Measures

Asian stocks rose after Greek lawmakers passed a bailout agreement that keeps the country in the euro for now as the European Central Bank weighs whether to pump more money into Greece.

The MSCI Asia Pacific Index gained 0.2 percent to 143.71 as of 9:03 a.m. in Tokyo. Greece’s parliament endorsed the bailout without the support of Prime Minister Alexis Tsipras’s Syriza bloc, as riot police tussled with protesters outside. The new austerity measures are a precondition for as much as 86 billion euros ($ 94 billion) in aid. Federal Reserve Chair Janet Yellen was upbeat on the economy and repeated that the Fed will probably raise its main interest rate this year.

China economic growth proved resilient in the second quarter as policy makers stepped up support and a stock market boom since soured spurred services. Industrial output in June rose 6.8 percent, while fixed-asset investment increased 11.4 percent in the first half, beating estimates, the National Bureau of Statistics data also showed. Retail sales increased 10.6 percent in June, topping a median forecast of 10.2 percent.

Source : Bloomberg

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