Asian markets rebound as Iraq fears wane

Asian markets rose Monday following widespread falls last week, after Wall Street shrugged off fears over instability in Iraq and Ukraine. Tokyo rebounded 2.38 percent, closing up 352.15 points at 15,130.52 and making up much of the 2.98 percent dip it suffered Friday after US President Barack Obama's announcement that he had authorised air strikes in Iraq. Hong Kong closed up 1.29 percent, or 314.61 points, at 24,646.02 while Shanghai gained 1.38 percent, or 30.22 points, to 2,224.65. Other regional markets saw more modest gains. Sydney rose 0.40 percent, or 21.7 points, to 5,457.0 while Seoul was up 0.41 percent, or 8.27 points, to close at 2,039.37. The dollar also rallied against the yen and euro after the unit plunged last week as investors snapped up the Japanese currency, seen as a safe haven in times of uncertainty and turmoil. Last week ended on a sour note for most Asian markets as worried investors took fright from a ramping up of instability in Iraq, where the US has been launching air strikes against extremist militants besieging ethnic minorities in the country's north. But US markets shrugged off the escalation of violence, ending the week in the black with a rally Friday, according to AFP.