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Asian stocks at the rise on positive economic outlook

By FashionUnited

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Asian stocks posted broad-based gains on Wednesday after Federal Reserve

Chairman Janet Yellen emphasised continuity with the policy approach taken by her predecessor and the Republican-controlled House of Representatives approved a bill raising the United States' debt ceiling for one more year in order to avoid a default on government debt.

Wednesday saw new data released on how China's exports climbed in January. Overseas shipments rose 10.6 percent from a year earlier, the General Administration of Customs said today. That beat the median economist projection for a 0.1 percent gain. Imports advanced 10 percent, more than forecast, leaving a trade surplus of 31.9 billion dollars, the widest for January since 2009.

After the update, the Shanghai Composite index rose 0.3 percent to close the session at 2,110 and hitting a six-week high. Similarly, the Hang Seng index rallied 1.5 percent to finish at 22,286 in Hong Kong, its highest level in nearly three weeks.

Meanwhile, in New York, Fossil Group Inc. (FOSL) reported fourth-quarter earnings down by 1.7 percent as the fashion-accessories retailer's sales growth was offset by higher expenses. Shares added over 3 percent to 120.75 dollars pre-market as results beat expectations.

Kate Spade completed the previously announced acquisition of Hong Kong and Southeast Asia Brand Operations from Globalluxe. The preppy shoes and accessories brand has finalised the acquisition of its business in Hong Kong, Macau, Taiwan, Malaysia, Singapore, Indonesia and Thailand from their long term partner Globalluxe. The total transaction value was approximately 34 million dollars, including 4 million dollars for working capital and other previously agreed adjustments with the payment to Globalluxe due in the first quarter of 2014, as explained by the companies in a joint communication.

Elsewhere, Morgan Stanley upgraded shares of Burlington Stores (NASDAQ:BURL) from an 'equal weight' rating to an 'overweight' rating in a research report sent to investors on Tuesday, TheFlyOnTheWall.com reported. The broker currently has a 29 dollars price target on the stock.

On a separate note, Gap posted a slower growth rate in the fourth-quarter compared with the same period a year earlier: sales growth at the group was 1 percent up, behind last year's same period's 8 percent increase. Old Navy sales remained stable while Banana Republic's slipped 3 percent.

FashionUnited