HONG KONG: Asian stock markets rose strongly Monday, with benchmarks in Tokyo and Shanghai gaining more than 2 per cent, as last week's rally on W all Street buoyed investor hopes for 2009. The session was the year's first for a number of Asian countries, including Japan, where markets were still closed Friday, and trading volumes were higher across the region as traders returned from the holidays. Rising crude oil prices lifted energy firms, and Japanese shares got a boost from a weakening yen, which helps the country's exporters. In a shortened half-day session, the Nikkei 225 stock average gained 183.56 points, or 2.1 per cent, to 9,043.12, its first finish above the 9,000-point line since Nov. 10. Hong Kong's Hang Seng climbed 1.3 per cent to 15,231.23, though was trading well off the day's highs. In mainland China, Shanghai's key index gained 2.1 per cent to 1,859.84. Taiwan and Thailand's benchmarks were up more than 2 per cent, with stock measures in Singapore and South Korea higher as well. Australia's market traded lower. The upbeat mood came after global markets rang in the new year with a strong advance despite more dismal economic news, including evidence that manufacturing in the U.S., Europe and China was deteriorating amid the slowdown. Also lifting sentiment was a possible U.S. economic stimulus plan. On Saturday, President-elect Barack urged Congressional leaders to move quickly on recovery measures that aides say could cost as much as $775 billion. While increasingly optimistic that markets can only fare better this year after the relentless selling of 2008, many investors are still bracing for a difficult first half, when company earnings and economic data could prove especially bleak. ``We are still trading more on sentiment than fundamentals,'' said Dariusz Kowalczyk, chief investment strategist for CFC Seymour in Hong Kong. ``The strong positive closing overseas had to have an impact on Asia.'' In the U.S. Friday, investors sent the Dow Jones industrials to its first close above 9,000 in two months even as a key U.S. manufacturing activity index fell to the lowest level in 28 years in December. The Dow rose 258.30, or 2.9 per cent, to 9,034.69, and the Standard & Poor's 500 index gained 28.55 points, or 3.2 per cent, to 931.80, its highest close since Nov. 5. Wall Street futures were modestly lower, pointing to a weak opening in the U.S. Crude oil price rose in Asia trade, with light, sweet crude for February delivery up 86 cents at $47.20. The contract soared last week to settle Friday at $46.34, up $1.74, amid spiraling violence in Gaza and expectations of OPEC productions cuts. In currencies, the dollar rose to 92 yen, up from 91.79, and the euro traded lower at 1.3864, down from 1.3918.

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