Nov. 8 (Bloomberg) -- Japanese stock futures and Australian shares rose after the European Central Bank’s Juergen Stark predicted the region’s debt crisis will be controlled within two years and as Greece moved closer to naming a premier of a unity government.
American depositary receipts of Canon Inc., the world’s biggest camera maker that gets 32 percent of its revenue in Europe, rose 0.8 percent from the closing share price in Tokyo. Those of Honda Motor Co., Japan’s second-largest carmaker by market value, gained 0.5 percent. Woodside Petroleum Ltd., Australia’s oil producer, advanced 1.1 percent after crude oil climbed to a three-month high.
Futures on Japan’s Nikkei 225 Stock Average expiring in December closed at 8,785 in Chicago yesterday compared with 8,760 in Osaka, Japan. They were bid in the pre-market at 8,770 in Osaka at 8:05 a.m. local time. Australia’s S&P/ASX 200 Index rose 0.5 percent today. New Zealand’s NZX 50 Index was little changed in Wellington.
“As any bits of positive news following steps toward a resolution in Europe occur, we are starting to see markets move up,” said Angus Gluskie, who manages more than $350 million at White Funds Management in Sydney. “People are concerned about the Italian situation now. We need to see some kind of resolution and improvement there before investors get really comfortable.”
Futures on the Standard & Poor’s 500 Index rose 0.2 percent today. In New York, the index rose 0.6 percent yesterday after the prediction by the European Central Bank’s Stark.
Greek Prime Minister George Papandreou and Antonis Samaras, leader of New Democracy,“made progress in talks yesterday to name a head of a national unity government,” Elias Mosialos, a Greek government spokesman, said in an e-mailed statement. Greece is trying to form the new government to secure outside financing to avert a collapse of the country’s economy.
Italian Prime Minister Silvio Berlusconi is struggling to hold on to power and prove he can implement austerity measures pledged to European Union allies. Berlusconi denied a report by Giuliano Ferrara, his former spokesman and now editor of newspaper Il Foglio, who wrote that the premier would step down “within hours.”
The MSCI Asia Pacific Index declined 13 percent this year through yesterday, compared with a 0.3 percent gain by the S&P 500 and a 14 percent loss by the Stoxx Europe 600 Index. Stocks in the Asian benchmark are valued at 12.9 times estimated earnings on average, compared with 12.7 times for the S&P 500 and 10.3 times for the Stoxx 600.
Crude oil for December delivery rose $1.26 to $95.52 a barrel on the New York Mercantile Exchange, the highest settlement price since July 29.
--Editors: John McCluskey, Jason Clenfield
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