25.02.201406:23:14UTC+00Asia stocks surge as merger buzz goads Wall Street

Asian share markets regained some momentum on Tuesday courtesy of a tailwind from Wall Street which paced to historic peak despite more mergers frenzy.

The optimistic mood among investors in the United States and Europe also aided calm nerves on China, following talk of credit tightening banged property shares yesterday. MSCI's widest index of Asia-Pacific shares outside Japan accrued 0.5%, while stocks in Seoul profited 0.7%.

Japan's Nikkei zipped ahead by 1.4% to break the 15,000 barrier, which in turn gave the US dollar a boost on the yen. In Australia, the market shortly reached its highest since mid-2008 on a stretch of solid earnings reports.

Asia was shadowing the footsteps of Wall Street, where the gauge S&P 500 touched an intra-day record as the Nasdaq zapped to peaks last seen around 14 years ago. The Dow closed up 0.64%, while the S&P 500 profited 0.62%, and the Nasdaq 0.69%. In Europe, the FTSEurofirst 300 index of top regional shares accrued 0.64%.

A shocking improvement in German business morale boosted optimism over the euro zone's recovery and helped uplift European stocks. A one-notch increase in Spain's sovereign debt rating by Moody's Investors Service Inc. also backed shares in Europe.

The recent US economic data dissatisfied, but the weakness was pulled down to bad weather. Instead, US investors concentrated on a series of merger and acquisition activity that is yielding cash into the market and signaling progressive confidence among business leaders. Radio frequency chipmaker RF Micro Devices Inc. agreed to acquire peer TriQuint Semiconductor Inc. for around $1.6 billion, and Men's Wearhouse Inc. increased its offer for Jos. A. Bank Clothiers Inc. by above 10%.

US Treasuries prices dropepd as money flowed to equities, but volumes were devalued. Yields on the benchmark 10-year note were at 2.74%, surged to 2 basis points overnight. The detour in risk sentiment hyped currencies leveraged to worldwide growth with the Australian dollar up about $0.9032, having profited half a cent yesterday.

The gain in the Nikkei supported nudge the US dollar up to ¥102.50, while the euro was trailing sideways at $1.3735.