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(.) * Slack trade across Asia due to US holiday * Chinese stimulus measures lift sentiment, By Archishma Iyer Sept 4 (Reuters) – Most on Monday after China’s stimulus measures and rising stakes in propping up its ailing economy Asian shares rose. US interest rate hikes on hold, even as currencies softened in thin trade. Domestic sentiment was boosted by fresh stimulus measures in China with headlines on the property and real estate sectors, but analysts believe more should be done. Separately, a rise in the United States unemployment rate matched a rise in jobs growth on Friday, indicating the Fed may not raise rates at its September meeting. Most Asian shares advanced further, with equities in Manila, Singapore, Seoul and Jakarta gaining between 0.2% and 1%. However, currencies were softer, with the Singapore dollar rising about 0.1%, while the Chinese yuan edged slightly higher. “The market may still be very concerned about some other factors,” said Gary Ng, senior economist for Asia Pacific at Natixis. “If you look at the US dollar, we haven’t really seen any sign of a very sharp softening on that side.” “The yield differential between the dollar and Asian currencies will continue to be one of the key drivers in determining their performance, and it really depends on the market’s expectation about the Fed going forward, even if there are a lot of central banks in Asia.” Banks will probably put rates on hold,” he said. The dollar index, which measures the greenback’s strength against six major currencies, was at 104.1 at 0640 GMT but held close to its two-month peak of 104.44. Markets believe there is a 93% chance the Fed will hold rates this month, with a 67% chance the central bank will end its tightening cycle. Locally, investors will be eyeing inflation data from China, Thailand and the Philippines this week, while Malaysia prepares to unveil its key policy rate. Markets in the United States were closed for a public holiday. HIGHLIGHTS: ** Indonesia’s benchmark 10-year bond yield steady at 6.383% ** Update 2-Malaysia drops corruption charges against PM Anwar’s aide ** Indian stocks – Fed rate halts, China’s stimulus Asia stock indexes and Indian shares up on hopes of currencies Country FX RIC FX FX YTD Index Stock Stock Daily % % Daily YTD % % Japan +0.05 -10.30 0.70 26.23 China +0.01 -5.05 1.27 2.71 India -0.01 -0.01 0.25 7.62 Indonesia – 0.03 +2 .13 0.31 2.17 Malaysia -0.17 -5.44 0.02 -2.12 Philippines -0.16 -1.68 0.32 -5.57 South Korea -0.08 -4.19 0.81 15.57 Singapore +0.05 -0.99 0.16 -0.40 Taiwan -0.11 -3.72 0.87 18.76 Thailand -0.17 – 1.66 -0. 63 -7.01 (Reporting by Archishma Iyer in Bengaluru; Editing by Sonia Cheema)
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