* Asian shares rise, robust Aussie jobs data spurs
currencies
* Aussie employment report fuels more rate rise
expectations
* Gold hits another record high as dollar struggles
* Signs grow that global recovery may be picking up steam
By Susan Fenton
HONG KONG, Oct 8 (Reuters) - Asian shares rose on Thursday
while surprisingly strong Australian jobs data pushed the
Aussie and New Zealand currencies to fresh 14-month peaks and
gold hit another record as the U.S. dollar continued to
struggle.
The Aussie dollar <AUD=> leapt above $0.90 to its highest
level since August last year on news that Australia created
more than 40,000 jobs last month -- against expectations for a
10,000 decline.
The data fueled speculation the central bank will raise
interest rates again in November after a hike earlier this
week.
"It's a strong message, if you believe the (job) numbers,
that our economy is substantially outperforming the rest of the
world," said Stephen Walters, chief economist at JP Morgan in
Australia.
Hopes that a global economic recovery is gathering
strength
were reinforced by a surprise profit announcement from
aluminum producer Alcoa Inc <AA.N> after the U.S. market close,
which boosted Asian shares. U.S. stocks had been lacklustre
overnight as investors awaited key earnings reports.
[]
Australian equities rose 1.6 percent after the jobs data,
outperforming a 1.2 percent increase in the MSCI index of Asia
Pacific stocks traded outside Japan <.MIAPJ0000PUS>, but South
Korea's KOSPI index <> was flat as caution reigned ahead
of a central bank meeting on Friday.
Australia's move on Tuesday to become the first G20 nation
to raise rates since the global recession has raised market
expectations that South Korea could soon follow suit.
Those expectations were bolstered by improving Korean
export and retail sales data on Thursday [], which
raised the likelihood the Bank of Korea on Friday will either
raise rates or lay the ground for future hikes to cool a
booming housing market and head off any inflationary pressures.
Traders said the Korean authorities were spotted buying
dollars on Thursday to stem a strengthening Korean won <KRW=>,
which has been spurred by rate rise expectations.
Japan's Nikkei index <> edged up 0.5 percent, helped
by gains in shipping firms after the Baltic Exchange's sea
freight index <.BADI> hit a seven-week high on Wednesday, but a
strengthening yen <JPY=> kept a lid on exporters' shares and
Sony Corp <6758.T> dipped 0.8 percent.
The Thomson Reuters index of regional shares <.TRXFLDAXPU>
was 0.4 percent higher.
AUSSIE RULES
The Aussie dollar bolted to as high as $.9035 after the job
data, up 1.5 percent from Wednesday's levels. It has been the
best performer this year among the world's most traded
currencies, underpinned by the resilient local economy, higher
commodity prices and a pick up in investor appetite for riskier
assets.
The New Zealand dollar <NZD=> also scaled fresh 14-month
highs as signs Australia's economic recovery is accelerating
has boosted confidence in New Zealand and sparked speculation
it could also raise interest rates soon.
The Kiwi dollar reached $0.7425 at one point, its highest
level since late July 2008.
The U.S. dollar was down 0.5 percent against a basket of
currencies <.DXY> and its continued slide encouraged investors
to move into gold <XAU=>, which hit a record high for a third
straight session, at $1,050.55 an ounce.
The euro <EUR=> strengthened to $1.4756 in Asia, from
$1.4681 in New York.
The European Central Bank and the Bank of England were both
expected to keep rates unchanged at meetings later on Thursday,
but there was speculation that ECB chief Jean-Claude Trichet
might complain about the euro's strength. []
"We do not expect any fireworks from Trichet, although the
market will remain sensitive to any comments from him regarding
the exchange rate," said Matthew Strauss, senior currency
strategist at RBC Capital in Australia.
Wednesday's surge in the Baltic index, which gauges the
cost of shipping resources such as cement and grain, was a
further indication that global economic recovery may be
gathering pace and sent shares of Japanese shipping companies
Mitsui OSK Lines <9104.T> and Nippon Yusen KK <9101.T> surging
6.6 percent and 8.2 percent respectively.
Japanese government bonds also rose following a rally in
U.S. Treasuries on Wednesday and the yield on 30-year JGBs fell
3 basis points to 2.130 percent, a three-month low on hopes an
auction of the maturity will meet fair demand.
(Additional reporting by Anirban Nag in SYDNEY)
(Editing by Kim Coghill)
