Asian markets encouraged by insurance rescue plan

Asian stock markets partly recovered today after the US government announced a £47.2 billion plan to bail out troubled insurance giant American International Group.

Asian stock markets partly recovered today after the US government announced a US$85bn (€59.9bn) plan to bail out troubled insurance giant American International Group.

Wall Street's rise overnight also lifted sentiment after yesterday's huge sell-off in Asia. Japan's Nikkei 225 average rose 1.6% to 11,788 by midday after sinking nearly 5% the day before to its lowest close in more than three years.