theSun | TUESDAY SEPTEMBER 1 2009 13

business KLCI
STI 2,605.39
closed
37.41
Nikkei
TSEC
10,497.19
6,825.95
36.95
16.09
Hang Seng 19,724.19 374.43 KOSPI 1,591.85 16.09
SCI 2,667.75 192.94 S&P/ASX200 4,479.10 10.50

Yen flies on Japan election, China

stocks drop
HONGKONG: The yen rose
sharply yesterday after a land-
slide election in Japan brought
new leadership with a goal of
supporting consumer spending,
though domestic stocks slipped
on exporter weakness.
Shanghai-listed shares
dropped 4% on the day, racking
up losses of 18% in August on
fears bank lending in China will
slow dramatically compared
with the first half at a time
when new shares are set to be
issued.
Volatility in Shanghai has had
a deadening effect on risk taking
to 132.45.
“The DPJ (Democratic Party
of Japan) may favour the con-
sumer more, which ultimately
could be favourable for the
and materials sectors.
Asian stocks are trading at
a price-to-book valuation of 1.1
times, above the 30-year aver-
age of 0.7 times and around the EXCHANGE RATES August 28, 2009
economy, but that’s a long-run same level at the peak of the last
and has been weighing on the thing,” said Stephen Roberts, bull market. Foreign currency Bank sell Bank buy Bank buy
Australian dollar, which with an economist at Nomura in Investors since March had TT/OD TT OD
its relatively high yields among Sydney. been justifying the premium 1 US Dollar 3.5530 3.4880 3.4780
developed market currencies, is Tokyo’s Nikkei share aver- based on the region’s growth 1 Australian Dollar 3.0220 2.8900 2.8740
a common target for investors age slashed early gains that prospects and its speedy recov-
1 Brunei Dollar 2.4720 2.4120 2.4040
searching for bigger returns. were led by buying of futures ery. However, the Asian stock
For the first time in a half and fell 0.35%. Large exporters rally sputtered in July and Au- 1 Canadian Dollar 3.2790 3.1990 3.1870
century, Japan would not be Canon Inc and Honda Motor gust for two reasons, according 1 Euro 5.1190 4.9950 4.9750
ruled by the Liberal Democratic Corp were among the biggest to Mark Matthews, Asia Pacific 1 New Zealand Dollar 2.4750 2.3670 2.3510
Party, sparking some short-term drags on the Nikkei. strategist with Fox-Pitt Kelton 1 Papua N Guinea Kina 1.4510 1.2020 1.1860
buying of yen based on hopes for The MSCI index of Asia ini Hongkong. 1 Singapore Dollar 2.4715 2.4120 2.4040
change in an economy trapped Pacific stocks traded outside “The first is that the US in
1 Sterling Pound 5.8010 5.6610 5.6410
in deflation and haunted by a Japan slid 0.8%, though was still particular and the developed
weak growth outlook. not far from the 11-month high world in general are experienc- 1 Swiss Franc 3.3690 3.2870 3.2720
The US dollar fell 0.8% to reached on Aug 4. The selling ing economic recoveries that 100 Arab Emirates Dirham 98.4600 93.2500 93.0500
¥92.71, the lowest since July was most pronounced in the are more robust than previously 100 Bangladesh Taka 5.3400 5.2100 5.0100
14, and the euro dropped 0.9% telecommunications, energy expected. – Reuters 100 Danish Krone 70.8200 65.0500 64.8500
100 Hongkong Dollar 46.6500 44.1900 43.9900

Darling urges more reform of finance sector 100 Indian Rupee

100 Indonesian Rupiah
100 Japanese Yen
7.5500
0.0370
3.8000
6.9300
0.0314
3.7080
6.7300
0.0264
3.6980
LONDON: Britain’s finance minister yesterday London, before a summit of the world’s biggest more to meet the target, by committing up 100 New Taiwan Dollar NA NA NA
urged European Union nations to boost IMF economies in September in Pittsburgh, which to US$175 billion (RM630 billion) – with the UK 100 Norwegian Krone 60.9100 55.9600 55.7600
resources to aid the fragile world economy, will discuss the issue of bankers’ bonuses. ready to provide up to an additional US$11 bil- 100 Pakistan Rupee 4.4100 4.1000 3.9000
saying Britain would pledge up to an extra Writing in the Guardian, Darling said G20 lion, taking our total contribution to over US$26
100 Philippine Peso 7.4500 6.9800 6.7800
US$11 billion (RM39.6 billion). world leaders agreed at the meet in London in billion (RM93.6 billion).”
Chancellor Alistair Darling also said there April to boost the International Monetary Fund’s The Guardian said the extra funding from 100 Qatar Riyal 99.1100 94.2700 94.0700
should not be “any let-up in the reform of the available lending resources to US$750 billion Britain, to help the IMF assist low-income 100 Saudi Riyal 96.220 91.530 91.330
finance sector” in the wake of the global crisis, (RM2.7 trillion). countries recover from the crisis, would be 100 South Africa Rand 47.4500 43.4200 43.2200
including on the controversial issue of pay and “European Union countries have agreed to announced today. Darling said he still expected 100 Sri Lanka Rupee 3.2200 2.9500 2.7500
bonus structures for executives. provide US$100 billion (RM360 billion) (to the Britain – suffering one of the worst recessions 100 Swedish Krona 51.9300 47.1900 46.9900
Darling’s comments come ahead of a meet- IMF),” Darling said in the newspaper. in decades – to return to growth “round the turn
100 Thai Baht 11.2000 9.5000 9.1000
ing of G20 finance ministers later this week in “But Europe should set an example and do of the year”. – AFP
Source: Malayan Banking Berhad