* Asian shares rise on signs global economy picking up
steam
* Aussie employment report fuels more rate rise
expectations
* Aussie dollar jumps to 14-month highs, pulls up NZ dollar
* Gold hits another record high as dollar struggles
* European, U.S. stock futures indicate higher open
By Susan Fenton
HONG KONG, Oct 8 (Reuters) - Asian shares rose on Thursday
as surprisingly strong Australian jobs data raised hopes for a
stronger global economic recovery and pushed the Aussie and New
Zealand currencies to fresh 14-month highs, while gold hit
another record.
European stock futures <STXEc1> were up 1.4 percent and the
euro <EUR=> advanced ahead of a European Central Bank meeting
and speculation that ECB chief Jean-Claude Trichet might
complain about the currency's strength.
U.S. equity futures <SPc1> were 0.9 percent higher,
indicating a higher open on Wall Street.
Asian shares got an early boost after aluminium producer
Alcoa <AA.N> kicked off the U.S. earnings season with a
surprise profit, sending its shares 6 percent higher in
after-hours trade. []
An unexpected surge in Australian jobs last month and
improving economic data out of South Korea added to signs that
a global recovery may be accelerating.
The Aussie dollar <AUD=> leapt above $0.90 to its highest
level since August last year as news that Australia created
more than 40,000 jobs last month -- against expectations for a
10,000 decline -- fueled speculation the central bank will
raise interest rates again in November after a hike earlier
this week.
The euro <EUR=> strengthened to $1.4757 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
amid much weaker economic conditions than in Australia, but
there was speculation Trichet may mention the currency.
[]
"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.
Australian equities gained 1.6 percent to a one-year
closing high after the jobs data, outperforming a 1 percent
increase in the MSCI index of Asia Pacific stocks traded
outside Japan <.MIAPJ0000PUS>, which briefly topped 400 points,
a level it has not seen since August last year.
The Thomson Reuters index of regional shares <.TRXFLDAXPU>
was 0.2 percent higher.
Japan's Nikkei index <> edged up 0.3 percent, helped by
gains in shipping firms after the Baltic Exchange's sea freight
index <.BADI> hit a seven-week high on Wednesday, a further
indication that global demand may be recovering. Mitsui OSK
Lines <9104.T> and Nippon Yusen KK <9101.T> surged 5.8 percent
and 7.3, percent respectively.
Concerns about the yen's <JPY=> recent strength, however,
kept a lid on exporters' shares and Sony Corp <6758.T> dipped
0.6 percent.
Australia's move on Tuesday made it the first G20 nation to
raise rates since the global recession began to ease and fueled
market expectations that South Korea could soon follow suit.
Korean equities <> rose 1 percent, helped by
improving
export and retail sales data [].
The data raised expectations that the Bank of Korea will
raise rates soon to head off inflationary pressures as the
economy recovers, though market watchers expect it will
probably hold its fire at its monthly review on Friday.
[]
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. Policy makers
fear a firmer currency could dent an export recovery.
AUSSIE RULES
The Aussie dollar bolted to as high as $.9035 after the
bullish jobs data, rising 1.5 percent from Wednesday's levels,
before paring some of its gains.
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 as the global financial crisis
eased.
The New Zealand dollar <NZD=> also scaled fresh 14-month
highs as signs Australia's economic recovery is accelerating
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 prospect that U.S. interest rates will remain low for a
longer time continued to undermine the dollar across the board,
giving an additional boost to higher-yielding currencies.
The dollar index <.DXY>, a measure of the greenback against
six major currencies, hovered at its lowest in two weeks, not
far off its 2009 low set in September at 75.827.
The U.S. currency slipped 0.4 percent from late New York
levels to 88.30 yen.
Persistent dollar weakness and fears of inflation
encouraged investors to continue piling into gold <XAU=>, which
hit a record high for a third straight session at $1,050.55 an
ounce.
"Investors are turning towards gold as a hedge in dollar
weakness," said Adrian Koh, an analyst at Phillip Futures in
Singapore.
Oil prices <CLc1> rose more than 1 percent to above US$70 a
barrel on global recovery hopes.
(Additional reporting by Anirban Nag in SYDNEY and Lewa
Pardomuan in SINGAPORE)
(Editing by Kim Coghill)
