Hang Seng crosses 21k

GLOBAL MARKETS

Hong Kong's Hang Seng Index exceeded 21,000 for the first time. Cheung Kong (Holdings) led gains among developers after the South China Morning Post said Wheelock Properties made an offer for residential sites in the city's West Kowloon for the second time in two months.

Property stocks also advanced on speculation the city's government will sell a residential building site for at least HK$2.61 billion tomorrow. Hutchison Whampoa rose after CNBC TV18 reported that India's Finance Minister has approved Vodafone Group proposed purchase of a controlling stake in Hutchison Essar. The Hang Seng added 156.32, or 0.8 percent, to 20,997.40 at 3:11 p.m. local time, exceeding the previous record close of 20,841.08 set on May 4.

Asian stocks climbed to a record, led by companies due to announce results this week, after Japan Airlines said operating profit rose to an all-time high. Japan Air, Asia's biggest carrier by sales, jumped the most in a month. Tokyo Electron, the world's number 2 supplier of chip-making equipment, had its largest gain in three weeks after a newspaper reported the company's profit this year will climb to a record on demand for chips used in personal computers.

The Topix index posted its biggest advance since March as Japan's shares resumed trading after a two-day holiday last week.

US

US stock-index futures dropped as investors speculated Federal Reserve Chairman Ben S Bernanke and other policy makers are unlikely to cut interest rates to revive a faltering economy when they meet this week.

Standard & Poor's 500 Index futures expiring in June fell 1.1 to 1513.10 as of 9:40 am in London. Dow Jones Industrial Average futures slid 2 to 13,317. Nasdaq-100 Index futures decreased 1.50 to 1907.

Europe

European energy stocks declined, led by Royal Dutch Shell NV and Total SA, as oil prices traded near a two-week low.

ABN Amro Holding NV fell after rejecting an offer from a Royal Bank of Scotland Group Plc-led group for its LaSalle Bank unit. Reed Elsevier NA led media companies higher following the sale of its Harcourt businesses to Pearson for $950 million.

European stocks rallied last week as takeover speculation intensified and corporate earnings beat analysts' expectations. Deals in Europe have totalled more than $1 trillion so far this year, based on data compiled by Bloomberg News.