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Asian Stocks Up on Stronger Japan GDP Performance

Tokyo, Hong Kong and European indexes all up Monday.

LONDON —  Asian indexes got off to a strong start Monday, following the news that Japan’s GDP fell only 1.3 percent in the second quarter, a better than expected performance.

 

Tokyo’s Nikkei 225 closed up 1.37 percent Monday, while Hong Kong’s Hang Seng index was up 3.26 percent.

 

Europe’s indexes had also inched up by mid-morning London time. The FTSE 100 was up 0.80 percent, the CAC 40 up 0.94 percent and the DAX had risen 1.78 percent.

 

Italy’s FTSE MIB index, which was closed Monday due to national holidays, had closed up 4 percent Friday. On Saturday, the country’s president Silvio Berlusconi approved a $64 billion plan to tackle the country’s debt — which includes budget cuts and higher taxes for high earners — to balance Italy’s budget by 2013.

 

French president Nicolas Sarkozy and German chancellor Angela Merkel are also due to meet Tuesday to discuss how Euro zone countries can work together more effectively on their sovereign debt issues.

 

Luxury and retail stocks were also performing mostly positively Monday, with the Swatch Group up 3.89 percent, Mulberry up 7.75 percent and Hermes up 4.16 percent.