Asian markets up

Asian markets were broadly higher on Thursday with traders winding down for the holidays while an upgrade of US economic growth provided some cheer.

The euro held up against major currencies as central banks bought into the under-pressure unit while traders sold it on lingering concerns about European sovereign debt.

Sydney added 0.43 percent, or 20.6 points, to end at 4,799.0, Hong Kong rose 0.19 percent by the break, Singapore was lifted 0.42 percent in the afternoon and Shanghai edged up 0.30 percent.

Tokyo was closed for a public holiday Investors were given a strong cue from Wall Street where the Dow rose 0.23 percent after data from Washington showed recovery in the world's biggest economy was picking up strength.

The Commerce Department said Wednesday that the rate of growth in the third quarter had been revised up to 2.6 percent from a previous estimate of 2.5 percent.

The upbeat revision points to an improving recovery driven by higher consumer spending, business investment and stronger exports.

It nevertheless fell slightly short of most analysts' forecasts of an upward revision to 2.8 percent.

In Sydney shares in miner Riversdale rose 1.66 percent after resources giant Rio Tinto offered to buy it for 3.9 billion US dollars.

The offer amounts to a 46 percent premium to the value of the shares of Riversdale, which has several projects in Africa, before speculation on a tie-up with Rio started.

Rio shares edged up 0.48 percent.

On foreign exchange markets central banks were buying the euro as dealers sold it off to move into stronger currencies.

"Most people are playing the euro on the short side against the Aussie dollar and the Swiss franc," said Suresh Ramanathan, forex strategist for CIMB Investment Bank in Kuala Lumpur.

"(But) there are a lot of Asian central banks who are buying the euro," he added.

He said banks were picking up the euro to mitigate a fall in the value of their own reserves caused by a weakening greenback.

The euro was changing hands at 1.3130 dollars, up from 1.3095 dollars in New York Wednesday. The unit bought 109.11 yen from 110.02 on Wednesday.

It was at 1.2469 Swiss francs in Asian morning trade, slightly edging up from 1.2460 late Wednesday.

The dollar was fetching 83.10 yen from 83.78 yen.

Traders' concerns over the euro were added to on Tuesday when Moody's rating agency warned it could downgrade Portugal due to its massive debt, while another agency, Fitch, said it could cut Greece to below investment grade.

Greece and Ireland have already been bailed out this year and there are worries that other European members, mainly Portugal, Spain, Belgium and Italy could be at risk in 2011.

Hong Kong, AFP