increasing demand from overseas
Demand from overseas contributed to the change of direction.
In Japan, international investors purchased more shares than they sold for 23 straight weeks between May and September, according to figures from the Tokyo Stock Exchange. The streak was the longest since 1996.
As funds flowed into the region, the MSCI Asia-Pacific recovered to show a 38 percent gain for last year. The Nikkei 225 matched the rally in dollar terms; the Topix rose 37 percent.
Hong Kong's Hang Seng Index added 36 percent. Thailand's SET Index, the region's best performer, more than doubled.
Optimism that the US will lead a global economic rebound lifted stocks in Asia and elsewhere. The world's largest economy expanded in the third quarter at an 8.2 percent annual rate, the fastest pace in two decades.
"The one thing I am looking at is whether US growth will sustain [itself] going into the next year," said Marc Desmidt, who helps manage the equivalent of US$7.4 billion at Merrill Lynch Investment Managers Co in Tokyo. "The question is: Can growth stabilize at a high level, around say 4 percent?"
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