Asian stocks rise on better US consumer confidence

BANGKOK (AP) – Asian stocks rose for a third straight session yesterday as improved US consumer confidence, a weaker Japanese yen and easing worries over Europe’s debt crisis buoyed investor sentiment.

Oil rose above $74 a barrel, reflecting the upbeat market mood. The dollar strengthened against the yen, while the euro was up against the dollar.

Japan’s benchmark Nikkei 225 stock average gained 154.06 points, or 1.6 percent, to 9,859.56. Investors also chased gains in Japanese exporters on an easing yen as a weaker currency lifts the value of their repatriated profits and can make their goods more price competitive .

South Korea’s Kospi index added 0.7 percent to 1,688.14. Australia’s stock market was closed for a public holiday.

Hong Kong’s Hang Seng edged up 0.9 percent to 20,047.14. Shanghai’s stock market was also closed, while shares in Taiwan rose 1.1 percent in early trading.

Investors took heart from a private report Friday that showed US consumer confidence in June climbed to its strongest level since January 2008. That boosted confidence – as did robust Chinese exports and actions by Spain to cope with a heavy deficit, said Francis Lun, general manager at Fulbright Securities.

“People are more confident about the market,” Lun said. “Europe is getting its house in order. We haven’t seen a further deterioration there.”

Recent gyrations in world markets have been largely due to the debt crisis in Europe, said Tey Tze Ming, market strategist for Saxo Capital Markets in Singapore.

“I think it will blow past. At the end of they day, US growth is back on track. Asia is growing well; most Southeast Asian countries beat their growth estimates,” he said.