Japan Q1 output gap +0.7 pct--govt report

(Reuters) - The report, written by a Cabinet Office official, said the
output gap turned positive for the second straight quarter and
widened from plus 0.5 percent in October-December 2006.




It is the first time since October-December 1996/
January-March 1997 that the output gap has shown a positive
reading for two quarters in a row.


Read more at Reuters.com Economic News

South Korea's Kospi Rises to Record High; Kookmin Bank, Shinhan Lead Gains

(Bloomberg) -- South Korean stocks advanced, pushing
the Kospi index to a record. Kookmin Bank and Shinhan Financial
Group Ltd. rose after Deutsche Bank AG said they were ``regaining
loan growth momentum.''

``Banks are catching up after missing out on the market's
recent gains,'' said Choi Chang Hoon, who manages about $800
million at Woori Credit Suisse Asset Management Co. in Seoul.
``The feeling is spreading that banks' earnings will be more
stable than previously expected.''


Read more at Bloomberg Stocks News

Gold Prices Trade Near Two-Month Low Amid Speculation Dollar to Strengthen

(Bloomberg) -- Gold prices in Asia were little
changed near a two-month low amid speculation the dollar will
strengthen further against the euro, reducing the appeal of the
precious metal as an alternative investment. Silver fell.

Gold generally moves in the opposite direction to the
dollar which last week gained to a six-week high against the
euro. Gold, which traded at a two-month low of $652.01 on May 24,
has risen 3 percent so far this year as the dollar dropped 1.9
percent against the euro.


Read more at Bloomberg Commodities News

Japanese 10-Year Bond Yield at Highest Since February as Stocks Rebound

(Bloomberg) -- Japan's 10-year bond yields held near
the highest since February after the Nikkei 225 Stock Average
rebounded from the biggest decline in a month.

Two-year yields were at the highest since 1997 before reports
this week that are forecast to show Japanese industrial production
rose and U.S. hiring increased. Signs of faster growth in the
world's two biggest economies may encourage the Bank of Japan to
raise interest rates again this year.


Read more at Bloomberg Bonds News

Copper Prices Rise by Maximum in Shanghai on Declining Global Stockpiles

(Bloomberg) -- Shanghai copper prices rose by the
daily limit following a drop in stockpiles and signs of continued
demand from China, the world's biggest user of the metal.

Global inventories of copper in warehouses monitored by the
London Metal Exchange fell for the sixth day, by 1.5 percent to
134,125 metric tons, the lowest since Oct. 31, the exchange said
on May 25. Shanghai exchange stockpiles fell 0.5 percent from a
three-year high in the past week, easing concern that China may
be oversupplied with the metal, used in wires and pipes.


Read more at Bloomberg Commodities News

Australian Mining Stocks Rise, Led by BHP Billiton; James Hardie Declines

(Bloomberg) -- Australian mining stocks rose, led by
BHP Billiton Ltd. and Rio Tinto Group after prices of metals
including copper and zinc gained, and amid speculation of mergers
and acquisitions in the mining industry.

James Hardie Industries NV declined after fourth-quarter
earnings fell as rising costs crimped profit margins in its home
market of Australia.


Read more at Bloomberg Stocks News

Crude Oil Drops on Speculation Rising U.S. Gasoline Output Will Cut Prices

(Bloomberg) -- Crude oil fell in New York on
speculation U.S. fuel prices may ease as refiners increase
output to meet summer demand.

U.S. gasoline production in the week ended May 18 rose to
the highest since December, increasing inventories for a third
week. Stockpiles that week were 7 percent below the five-year
average, according to Energy Department data.


Read more at Bloomberg Commodities News

EnTie Commercial, Hon Hai Precision and Tecom: Taiwan's Equity Preview

(Bloomberg) -- The following stocks may rise or fall
in Taiwan trading. Stock symbols are in brackets after the
company names. The preview includes news that broke after
markets shut. Prices are from the May 25 close unless otherwise
stated.

The Taiex index dropped 0.7 percent, to 8159.97 in Taipei.
The measure rose 1.6 percent last week, the largest weekly gain
in two months.


Read more at Bloomberg Stocks News

Australian Dollar May Advance After Failing to Drop Below Key Chart Level

(Bloomberg) -- The Australian dollar may snap two
days of losses on speculation it will resume this year's
appreciation after it failed to drop below a level on technical
charts traders watch to predict price movements.

The currency was at 81.85 U.S. cents at 9:13 a.m. in Sydney
compared with 81.80 cents late in New York May 25. It held above
a May 4 low of 81.71, the weakest since April 10, as it declined
0.6 percent last week. It's risen 3.8 percent this year.


Read more at Bloomberg Currencies News

Japanese Stocks May Advance on Higher Metals, Crude Oil Prices, Weaker Yen

(Bloomberg) -- Japanese stocks may climb, led by
trading companies, after commodities prices rose at the end of
last week. Exporters could advance after the yen weakened against
the dollar and euro, boosting the value of their overseas sales.

Mitsubishi Corp., Japan's largest trading company, and Honda
Motor Co., the most dependent of Japan's big three automakers on
overseas sales, may rise.


Read more at Bloomberg Stocks News

Gold May Fall for Fourth Week as Dollar Gains Erode Demand for the Metal

(Bloomberg) -- Gold may fall for a fourth-straight
week on speculation the euro will weaken further against the
dollar, reducing the appeal of the precious metal as an
alternative investment.

Fifteen of the 28 traders, investors and analysts surveyed
by Bloomberg from Sydney to Chicago on May 24 and May 25 advised
selling gold, which fell 1 percent to $655.30 an ounce last week
on the Comex division of the New York Mercantile Exchange. It
was the most bearish response to the weekly survey since October
2005. Nine said to buy and four were neutral.


Read more at Bloomberg Commodities News

RPT-Wall St Week Ahead: May jobs data to test stocks' rally

(Reuters) - NEW YORK, May 27 - Wall Street's merger-fueled
rally may continue this week, so long as Friday's payrolls
report and other economic news don't spoil the party.




For a holiday-shortened four-day work week, the calendar is
crowded with reports on consumer confidence and the overall
pace of economic growth, among others.


Read more at Reuters.com Economic News

Dubai looking to crash Nasdaq's OMX deal - paper

(Reuters) - DIFC Governor Omar bin Suleiman told Reuters on Thursday it
was not considering making a bid for OMX. DIFC could not be
reached for comment on Sunday.





Read more at Reuters.com Mergers News

Syrians vote, Assad runs uncontested for new term

(Reuters) - Only a political miracle could stop Assad, the only candidate allowed to run, from cruising to victory.




With Iraq plunging into sectarian strife and instability in Lebanon, state media and the Baath party have emphasized Basher's command of a strong state, economic reform and his vision of upholding Arab rights in the struggle with Israel.


Read more at Reuters.com Bonds News