Asian markets rose Friday as Greece scrapped plans for a national vote on last week's eurozone rescue package, which had drawn condemnation and shocked world markets.
Investor confidence was also boosted by a surprise rate cut by the European Central Bank.
Tokyo finished up 1.86 percent, or 160.98 points, at 8,801.40, Sydney jumped 2.62 percent, or 109.3 points, to 4,281.1 and Seoul climbed 3.13 percent, or 58.45 points, to 1,928.41.
Hong Kong surged 3.12 percent, or 600.29 points, to 19,842.79 and Shanghai gained 0.81 percent, or 20.20 points, to 2,528.29.
"While the (Greek) show remains far from over, markets nonetheless breathed a huge sigh of relief on the news," the referendum may not go ahead, DBS Group said in a note, according to Dow Jones Newswires.
George Papandreou said a referendum would not have to be held if the Greek opposition backed the rescue package hammered out by European leaders last Thursday. The opposition has already given its support to the deal.
The Greek leader has been under pressure to get his house in order from colleagues at a G20 summit meeting in Cannes, France, this week.
Papandreou, who faces a confidence vote in parliament on Friday, told members of his socialist PASOK party that Greece had to implement the terms of the rescue package or face a humiliating exit from the 17-nation eurozone.
"Rejecting the plan via a 'No' vote in a referendum, holding early elections, or not getting a (parliamentary) majority in favour of the package would mean leaving the euro," he said.
While he stopped short of formally announcing the referendum was scrapped, Finance Minister Evangelos Venizelos was more forthright.
He said: "From what we have understood from the speech of the prime minister, the government and therefore the country, is officially announcing that it is not heading towards organising a referendum."
He later announced Athens had officially abandoned plans for a vote.
Global markets rallied last week after the eurozone unveiled a deal to tackle the region's debt crisis that would see Greece's bondholders take a loss on their investments, banks recapitalise and a bailout fund boosted.
It also provided a fresh rescue package for Greece as long as it agreed to more austerity measures.
However, Papandreou shocked the world Monday by saying he would put the bailout deal to a referendum, raising the prospect it would be rejected by a nation already fed up with swingeing cuts.
Adding to Friday's buying sentiment was the European Central Bank's decision earlier to cut interest rates a quarter of a point to 1.25 percent, a shock move by the bank's new chief Mario Draghi.
European stock markets rose Friday with London's FTSE 100 index advancing 0.62 percent to 5,579.98 points, Frankfurt's DAX 30 climbing 0.69 percent to 6,175.43 points and in Paris the CAC 40 added 0.57 percent to 3,213.13.
The euro firmed to $1.3838, up from $1.3808 late in New York on Thursday.
While the ECB rate cut initially sent the euro lower, the common currency soon rebounded, helped by the news from Greece, edging up to 107.99 yen from 107.81 yen.
The dollar was barely changed at 78.02 yen, from 78.03 yen.
On Wall Street Thursday the Dow rose 1.76 percent, the Nasdaq gained 2.20 percent and the S&P 500 was 1.88 percent higher thanks to strong earnings figures from foods giant Kraft and cellphone chip maker Qualcomm.
Dealers will be looking to Washington later in the day as the government releases the latest non-farm payrolls data for a hint at the state of the US economy.
New York's main contract, light sweet crude for delivery in December, rose 67 cents to $94.84 per barrel.
Brent North Sea crude for December delivery gained $1.18 to $111.94 per barrel.
At 1050 GMT gold was higher at $1,758.50 an ounce against $1,733.77 late Thursday.
In other markets:
-- Taipei closed 1.92 percent, or 142.92 points, higher at 7,603.23.
Acer rose 3.28 percent to Tw$34.6 while TSMC was up 1.50 percent at Tw$74.6.
-- Singapore's Straits Times Index closed up 1.36 percent, or 38.20 points, to 2,848.24.
CapitaLand gained 2.25 percent to Sg$2.73 and Oversea-Chinese Banking Corp added 4.02 percent to Sg$8.53.
-- Indian shares rose 0.46 percent or 80.68 points to 17,562.61.
India's HeroMotocorp rose 2.19 percent to 2,116.2 rupees while the largest private aluminium producer Hindalco rose 2.43 percent to 139.
-- Manila rose 1.46 percent, or 61.47 points, to 4,271.72.
San Miguel rose 5.45 percent to 118 pesos, Philippine Long Distance Telephone added 1.20 percent to 2,360 pesos while Banco de Oro gained 3.10 percent to 56.50 pesos.
-- Bangkok was flat, edging down 0.25 points to 957.31.
Banpu lost 14.00 baht to 576.00, while Siam Cement gained 1.00 baht to 314.00.
-- Kuala Lumpur shares rose 1.02 percent, or 15.14 points, to end at 1,477.51.
Gaming giant Genting gained 4.2 percent to 10.80 ringgit, and financial firm CIMB Group added 2.4 percent to 7.36 ringgit. Plantation company Kuala Lumpur Kepong fell 0.7 percent to 21.00 ringgit.
-- Indonesian shares ended up 2.1 percent at 3,783.628.
-- Wellington closed 0.61 percent, or 20.28 points, higher at 3,331.79.
Telecom added 0.6 percent to NZ$2.63 and Tower gained 5.2 percent to NZ$1.42.
yahoo.com
Investor confidence was also boosted by a surprise rate cut by the European Central Bank.
Tokyo finished up 1.86 percent, or 160.98 points, at 8,801.40, Sydney jumped 2.62 percent, or 109.3 points, to 4,281.1 and Seoul climbed 3.13 percent, or 58.45 points, to 1,928.41.
Hong Kong surged 3.12 percent, or 600.29 points, to 19,842.79 and Shanghai gained 0.81 percent, or 20.20 points, to 2,528.29.
"While the (Greek) show remains far from over, markets nonetheless breathed a huge sigh of relief on the news," the referendum may not go ahead, DBS Group said in a note, according to Dow Jones Newswires.
George Papandreou said a referendum would not have to be held if the Greek opposition backed the rescue package hammered out by European leaders last Thursday. The opposition has already given its support to the deal.
The Greek leader has been under pressure to get his house in order from colleagues at a G20 summit meeting in Cannes, France, this week.
Papandreou, who faces a confidence vote in parliament on Friday, told members of his socialist PASOK party that Greece had to implement the terms of the rescue package or face a humiliating exit from the 17-nation eurozone.
"Rejecting the plan via a 'No' vote in a referendum, holding early elections, or not getting a (parliamentary) majority in favour of the package would mean leaving the euro," he said.
While he stopped short of formally announcing the referendum was scrapped, Finance Minister Evangelos Venizelos was more forthright.
He said: "From what we have understood from the speech of the prime minister, the government and therefore the country, is officially announcing that it is not heading towards organising a referendum."
He later announced Athens had officially abandoned plans for a vote.
Global markets rallied last week after the eurozone unveiled a deal to tackle the region's debt crisis that would see Greece's bondholders take a loss on their investments, banks recapitalise and a bailout fund boosted.
It also provided a fresh rescue package for Greece as long as it agreed to more austerity measures.
However, Papandreou shocked the world Monday by saying he would put the bailout deal to a referendum, raising the prospect it would be rejected by a nation already fed up with swingeing cuts.
Adding to Friday's buying sentiment was the European Central Bank's decision earlier to cut interest rates a quarter of a point to 1.25 percent, a shock move by the bank's new chief Mario Draghi.
European stock markets rose Friday with London's FTSE 100 index advancing 0.62 percent to 5,579.98 points, Frankfurt's DAX 30 climbing 0.69 percent to 6,175.43 points and in Paris the CAC 40 added 0.57 percent to 3,213.13.
The euro firmed to $1.3838, up from $1.3808 late in New York on Thursday.
While the ECB rate cut initially sent the euro lower, the common currency soon rebounded, helped by the news from Greece, edging up to 107.99 yen from 107.81 yen.
The dollar was barely changed at 78.02 yen, from 78.03 yen.
On Wall Street Thursday the Dow rose 1.76 percent, the Nasdaq gained 2.20 percent and the S&P 500 was 1.88 percent higher thanks to strong earnings figures from foods giant Kraft and cellphone chip maker Qualcomm.
Dealers will be looking to Washington later in the day as the government releases the latest non-farm payrolls data for a hint at the state of the US economy.
New York's main contract, light sweet crude for delivery in December, rose 67 cents to $94.84 per barrel.
Brent North Sea crude for December delivery gained $1.18 to $111.94 per barrel.
At 1050 GMT gold was higher at $1,758.50 an ounce against $1,733.77 late Thursday.
In other markets:
-- Taipei closed 1.92 percent, or 142.92 points, higher at 7,603.23.
Acer rose 3.28 percent to Tw$34.6 while TSMC was up 1.50 percent at Tw$74.6.
-- Singapore's Straits Times Index closed up 1.36 percent, or 38.20 points, to 2,848.24.
CapitaLand gained 2.25 percent to Sg$2.73 and Oversea-Chinese Banking Corp added 4.02 percent to Sg$8.53.
-- Indian shares rose 0.46 percent or 80.68 points to 17,562.61.
India's HeroMotocorp rose 2.19 percent to 2,116.2 rupees while the largest private aluminium producer Hindalco rose 2.43 percent to 139.
-- Manila rose 1.46 percent, or 61.47 points, to 4,271.72.
San Miguel rose 5.45 percent to 118 pesos, Philippine Long Distance Telephone added 1.20 percent to 2,360 pesos while Banco de Oro gained 3.10 percent to 56.50 pesos.
-- Bangkok was flat, edging down 0.25 points to 957.31.
Banpu lost 14.00 baht to 576.00, while Siam Cement gained 1.00 baht to 314.00.
-- Kuala Lumpur shares rose 1.02 percent, or 15.14 points, to end at 1,477.51.
Gaming giant Genting gained 4.2 percent to 10.80 ringgit, and financial firm CIMB Group added 2.4 percent to 7.36 ringgit. Plantation company Kuala Lumpur Kepong fell 0.7 percent to 21.00 ringgit.
-- Indonesian shares ended up 2.1 percent at 3,783.628.
-- Wellington closed 0.61 percent, or 20.28 points, higher at 3,331.79.
Telecom added 0.6 percent to NZ$2.63 and Tower gained 5.2 percent to NZ$1.42.
yahoo.com
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