GLOBAL MARKETS-Asian shares hold firm, shrug off US election jitters

NEW YORK - Asian shares looked set to climb on Tuesday as
investors shrugged off U.S. election jitters and took hope in
strong factory output data in China, Europe and the United
States, although the dollar and gold firmed on political
uncertainty.
The United States will hold its election later on Tuesday
after a polarizing campaign where President Donald Trump and his
Democratic rival, Joe Biden, have alluded to post-election
disputes.
No immediate winner in the presidential race could shake
markets. Trump trails Biden in national opinion polls, but polls
in the swing states that will decide the election show a closer
race.
Some analysts said stock markets are finding solace in the
fact that monetary policy worldwide would stay loose and support
share prices, even if the election does not immediately produce
clear results.
"Whatever the outcome, central bank policy is poised to
remain extremely accommodative globally," analysts at ANZ Bank
said in a client note. "Markets appear to have embraced that
liquidity theme."
Australia's ASX 200 .AXJO jumped 1.17% in early trading,
while Hong Kong's Hang Seng index futures .HSIc1 rose 0.28%.
S&P 500 futures Esc1 climbed 0.31%, extending gains on Wall
Street overnight, and Japan's Nikkei 225 futures NKc1 added
0.41%.
Factory output data released on Monday showed surprising
resilience in manufacturing activity in large parts of the
world.
U.S. manufacturing activity accelerated more than expected
in October, with new orders jumping to their highest in nearly
17 years, while Chinese factory activity expanded the fastest in
a decade and euro zone manufacturing also sped up.
The run of upbeat economic data helped oil prices. U.S.
Brent crude futures LCOc1 was steady at $39.24.
Still, the uncertainty of the U.S. election and a resurgence
in COVID-19 cases in Europe and the United States supported the
dollar and gold prices, as some investors sought safety.
Gold XAU= was firm at $1,893.85 an ounce, while the dollar
index =USD held ground at 94.027.
A firmer dollar kept the euro EUR= on a back foot,
although it was steady at $1.16405 in early Tuesday trade.
U.S. Treasury yields mostly drifted lower overnight as
investors braced for an eventful week with central bank meetings
by the Reserve Bank of Australia, the Federal Reserve and Bank
of England, as well as the release of U.S. jobs data for
October.
The Reserve Bank of Australia is meeting on Tuesday and the
market expects Australia's central bank to expand its government
bond-buying programme by about A$100 billion ($71.29 billion).