Asian stock markets recorded sharp gains Wednesday, helped by a jump in commodity prices and hopes that the U.S. banking system is showing sings of buoyancy.  In Tokyo, the Nikkei 225 stock average jumped 2.1% to 9,991.49 and the Hang Seng index in Hong Kong surged more than 4% to close at 18,785.66.  Japanese investors shrugged off a report that suggested core machinery orders, a closely watched indicator of corporate capital spending, plunged to a 22-year low in April. South Korea's benchmark Kospi jumped 3.1% and India's Sensex added 2.3%.   

Yesterday, Wall Street responded with a yawn to Obama Administration's announcement that 10 of the largest banks could repay $68 billion of government bailout cash.  Although Treasury Secretary Geithner, appearing before the Senate Appropriations Committee, noted the repayment of the bailout money was a sign of "financial repair," stocks swung back and forth in a narrow range, signaling

Asian stock markets jumped Friday after Japanese production numbers surged the most in 56 years and India's economy grew faster than economists had forecast.  Japan's Trade Ministry said industrial output in that country jumped 5.2% in April and India's economy grew an unexpected 5.8% in the first quarter, beating analysts' projections.  The numbers buoyed investors' confidence and trading picked up as the session progressed.  Japan's Nikkei 225 stock average added 0.8% to 9,522.50 while Hong Kong's Hang Seng advanced 1.6% to 18,171.00.  India's Sensex jumped 2.8% to 14,701.98 as news of the country's economic growth took investors by surprise.  South Korea's Kospi edged up 0.3%.

Stock futures show Wall Street is headed for higher open.  Dow futures rose 0.8% at 8,450. Standard & Poor's 500 index futures rose 0.7% to 911.80 and Nasdaq 100 index futures rose 1% to 1,433.00. 

Although government's ability to fund its massive debt

India started the year on an actionable note by sharply cutting interest rates and unveiling another stimulus package. The Reserve Bank of India lowered its repurchase rate by one percentage point to 5.5%, and lowered the reverse-repurchase rate by one percentage point to 4%.

As part of its stimulus plan, the government eased inflation controls and raised the overseas investment limit to $15 billion from $6 billion. India’s federal government also green-lighted state-level initiatives to raise an additional $6.18 billion (300 billion rupees) in the year to March 31 for infrastructure projects such as roads, schools and hospitals.

The government will also offer $4.12 billion (200 billion) rupees to state-run banks and $5.15 billion (250 billion rupees) to non-bank finance companies to raise capital, The Wall Street Journal reported.

To make this possible, India lowered the cash reserve ratio – the proportion of deposits banks are required

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