RPT-GLOBAL MARKETS-G20 supports Asia stocks ahead of US data

                                
 * MSCI Asia Pacific ex Japan stocks index hits 3-mth high
                                
 * Perception of policy coordination important, analyst says
                                
 * Caution setting in before March US payrolls figure
 (Repeats to additional subscribers with no change to text)
                                
 By Kevin Plumberg
                                
 HONG KONG, April 3 (Reuters) - Efforts by G20 leaders
convinced investors that policy makers were united enough to
keep a risk taking rally alive on Friday, pushing up Asian
equities for a fourth day and knocking the yen to a six-month
low against the Australian dollar.
                                
 The perception of global policy coordination added to a
growing optimism based on sprouts of economic recovery around
the world in the last month. For example, a gauge of Chinese
manufacturing in March released on Thursday reflected expansion
for the first time since September 2008.
                                
 Though caution reigned ahead of the latest U.S. payrolls
figure due later on Friday, views on the medium-term outlook
improved markedly after the Group of 20 pledged $1.1 trillion
in additional funds for the International Monetary Fund and to
support global trade finance.
                                
 "We expected a lot of discord between the U.S. and UK and
France and Germany with China poking its nose in as well but
they seem to come out of the event as one connected group,
seemingly on the same page," said Dwyfor Evans, currency
strategist with State Street Global Markets in Hong Kong.
                                
 "It implies that there is policy coordination and not
policy discord," he said.
                                
 Institutional investors have been selling U.S. dollars and
yen and buying emerging market and commodity-related
currencies, Evans said, citing State Street's capital flows
data.
                                
 Global stock markets have been rising at a torrid pace for
nearly a month now, particularly in Asia, and some dealers were
talking about the need to pause and lock in some of the gains.
Indeed, U.S. stock market futures were already pointing to a
slightly lower open later in the day. <SPc1>
                                
 Japan's Nikkei share average rose 0.2 percent, led for a
third day by automaker stocks. Shares of Toyota Motor Corp
<7203.T> rose 6.7 percent following more evidence overnight the
global car market collapse could be nearing an end.
                                
 Car sales in Germany, Europe's largest market, surged 40
percent in March, mainly due to government incentives to
encourage drivers to trade old cars for more fuel-efficient
models. [ID:ID:nL2696446]
                                
 The MSCI index of Asia Pacific stocks outside Japan
<.MIAPJ0000PUS> edged up 0.1 percent and stood more than 20
percent higher since late February.
                                
 Hong Kong's Hang Seng index <.HSI> was up slightly near a
three-month high, after a 7 percent surge on Thursday.
                                
 Rebounding commodity prices fed into a 3 percent pop in
shares of Australian miners BHP Billiton <BHP.AX> and Rio Tinto
<RIO.AX>. The benchmark S&P/ASK 200 index <.AXJO> climbed 1.3
percent.
                                
 THE GRAND 20
                                
 The yen took an early beating against higher yielding
currencies such as the Australian and New Zealand dollars but
then fought back some, ahead of the March U.S. employment data.
                                
 The euro was trading relatively unchanged against the yen
at 133.98 yen <EURJPY=> after a choppy morning. The dollar was
up a touch at 99.65 yen <JPY=> after earlier poking above the
psychologically important 100 yen level since early November
2008.
                                
 Debate was ensuing among market participants about exactly
where the money to fund the G20's goals was going to come from,
but most analysts agreed that the policy response was more than
they had expected.
                                
 Standard Charted strategists labelled their morning note
"The Grand 20," saying emerging market and high-yielding
currencies will be supported because of actions to beef up the
IMF.
                                
 However, "the initial market euphoria may yet prove to be
exaggerated given that the weak economic outlook will persist
for some time - today's U.S. payrolls numbers and U.S.
corporate earnings next week could provide a nasty reminder,"
they said.
                                
 The benchmark 10-year Japanese government bond yield rose
to a 3-1/2-month high on Friday, as the Nikkei advanced.
                                
 JGB futures also touched their lowest in nearly five
months. [ID:nT182013]
                                
 Globally, emerging market bond returns rose 0.78 percent on
Thursday <11EMJ>, according to JPMorgan's EMBI-plus performance
index. The index has gained 4 percent since the end of
February.