Asian stocks gained on positive China manufacturing data, with the MSCI Asia Pacific index rising 0.2% and on track for its highest close in seven months. However the Shanghai Composite continued to decline, with an 0.3% fall today. Bloomberg China's manufacturing PMIs showed more expansionary growth with the official survey for November rising to 50.6 from 50.2 the previous month, and the final HSBC/Markit PMI recording 50.5, up from 49.5 in October. However the breakdown of the official survey components indicated growth is concentrated in the state sector, with a retrenchment in smaller and medium-sized companies. Reuters News Corp's UK newspaper chief quits: Tom Mockridge has resigned unexpectedly as chief executive of Rupert Murdoch's UK newspaper arm, people familiar with his decision said on Sunday, after being passed over for the chief executive position at the publishing company News Corp is expected to spin off next year. Financial Times Merkel prepared to consider Greek bond losses. UK's euro trade role criticised. Banque de France governor Christian Noyer told the FT: "Most of the euro business should be done inside the euro area. It's linked to the capacity of the central bank to provide liquidity and ensure oversight of its own currency. Clampdown on UK multinational tax dodge: "George Osborne will on Monday set out plans for a "£10bn tax dodging clampdown," as he struggles to control the deficit and contain a growing outcry over the tax treatment of multinationals, including Starbucks." Fiscal cliff stalemate as Geithner challenges Republicans on budget: The Treasury secretary said Republicans should specify the budget cuts they want to see. He rejected a proposal from John Boehner for a compromise on taxes on high income earners. "There's no path to an agreement that does not involve Republicans acknowledging that rates have to go up on the wealthiest Americans," Geithner said on NBC's "Meet the Press." (Financial Times) (Washington Post) Delta in talks to buy Virgin Atlantic stake: "Delta Air Lines is in talks to buy Singapore Airlines" 49 per cent stake in Virgin Atlantic, reviving a deal long discussed in the airline industry, said three people familiar with the matter." UK manufacturing output worst since late 2009: The EEF survey published today says orders hardly grew in the last quarter. Chief of Japan's biggest bank warns on the sector's exposure to JGBs. Economists and fund managers down-playing the fiscal cliff effects. New York Times The regulation (or lack thereof) of China's murky shadow banking system. Another "Largarde's list" accusation, this time against George Papandreou's 89-year-old mother. Gavyn Davies: This Japanese election might be different. Hollande paying a price for steel stance. Asian markets Nikkei 225 up +43.96 (+0.47%) at 9,490 Topix up +0.63 (+0.08%) at 782.09 Hang Seng down -33.91 (-0.15%) at 21,996 US markets S&P 500 up +0.23 (+0.02%) at 1,416 DJIA up +3.76 (+0.03%) at 13,026 Nasdaq down -1.79 (-0.06%) at 3,010 European markets Eurofirst 300 down -2.47 (-0.22%) at 1,119 FTSE100 down -3.48 (-0.06%) at 5,867 CAC 40 up +7.27 (+0.20%) at 3,565 Dax up +4.54 (+0.06%) at 7,406 Currencies €/$ 1.30 (1.30) $/¥ 82.32 (82.35) £/$ 1.60 (1.60) Commodities ($) Brent Crude (ICE) up +0.41 at 111.64 Light Crude (Nymex) up +0.24 at 89.15 100 Oz Gold (Comex) up +9.30 at 1,720 Copper (Comex) up +1.35 at 364.30 CDS (closing levels) Markit iTraxx SovX Western Europe +0.31bps at 106.78bp Markit iTraxx Europe +0.76bps at 122.98bp Markit iTraxx Xover +0.76bps at 496.21bp Markit CDX IG -0.88bps at 98.5bp Sources: FT, Bloomberg, Markit