Stocks take direction from Japan CB action

MANILA, Philippines - Asian stock markets, including the Philippines, treaded upward yesterday, kept afloat by expectations that Japan’s central bank will announce action to help the country break out of its economic slump.

At the Philippine Stock  Exchange (PSE), the main composite index  climbed 29.25 points to settle at 5,426.76.

Market breadth was positive with gainers outnumbering losers, 84 to 78 while 43 issues were unchanged.

Total volume turnover reached 5.40 billion shares valued at P6.26 billion.

With much of New York’s Financial District in a mandatory evacuation zone due to the storm, traders were focusing on the Bank of Japan, whose monetary policy committee was expected to announce steps to stimulate the economy following a meeting, possibly an expansion of its asset-purchase program.

Japan’s economy has been hobbled by weakness in its turbocharged export sector, which has been hit hard by a slowdown in demand from recession-mired Europe and a persistently strong yen, which makes Japanese products more expensive for overseas buyers.

The Singapore Straits Times index rose 9.12 points to 3,038.73. South Korea’s Kospi index rose 0.4 percent to 1,899.51. Australia’s S&P/ASX 200 added 0.2 percent to 4,484.60. Hong Kong’s Hang Seng index fell 0.5 percent to 21,407.74. Benchmarks in mainland China, Indonesia and Taiwan rose.

The New York Stock Exchange was shut down on Monday and will remain closed at least through Tuesday as a once-in-a-century storm barreled through the northeastern US. The last time trading was halted for two consecutive days because of weather was in 1888.

The uncertainty generated by the storm comes at the start of a big week in the United States. This is the last full week before the Nov. 6 presidential election and culminates Friday with the release of October’s employment report, which many analysts think could have an impact on the vote.