Asian Stocks End Higher; Europe Gains

HONG KONG -- Asian stocks advanced Monday as better-than-expected news about U.S. retailers buoyed confidence in the world's largest economy and gold prices hit a new record. European shares were modestly higher.

Major markets across Asia rose between 1% and 2% as the foundering dollar led investors to pour more money into commodities and shares of resource companies. Gold broke above $1,130 for the first time and oil traded higher around $77.

Encouraging quarterly reports Friday from large U.S. retail chains, as well as Walt Disney (DIS Quote), helped ease investor worries about American consumer spending, long a major source of growth for Asia's export-oriented economies.

"The data is improving, the news is on the upswing, and first and foremost this helps boost confidence," said Lorraine Tan, director of equities research at Standard & Poor's in Singapore.

Also on investors' minds was President Barack Obama's first visit to China, where issues of trade, the economic recovery and the two countries' currencies were likely to figure in meetings with Beijing's leaders.

Stocks in Britain rose 0.86%, while shares in Germany gained 1.01% and France was up 0.66%. Wall Street futures augured a stronger open in the U.S. Monday.

In Japan, the Nikkei 225 stock average closed up 20.87 points, or 0.2%, to 9,791.18. But investors largely brushed off news that Japan's economy expanded at an annual pace of 4.8% in the third quarter, marking a second straight quarter of expansion and the strongest surge in gross domestic product since 2007.