Video

Asian stocks took a breather on Monday after posting their best weekly gain in over three months. MOREINFO: Expectations of an interest rate cut by the Federal Reserve at its December policy meeting had sparked a rally in stocks last week. Monday's pause in the recent stock rally helped the low-yielding yen firm slightly, recouping some of its earlier declines against the US dollar and the euro. SCRIPT: Asian stocks saw mixed trade on Monday as market players took profits on last week's gains and as expectations of a rate cut by the Federal Reserve continued to boost sentiment. Forecasts of another rate cut by the Fed at its December policy meeting helped to counter ongoing worries about the fallout from a tight credit market and an ongoing US housing slump. Japan's Nikkei ended lower as exporter stocks felt the pinch of a stronger yen currency. But property firms helped to support the market as investors put money into stocks that are less sensitive to currency moves. Japanese steel giant Nippon Steel saw its shares rise along with several others, on reports they plan to boost their combined domestic crude steel ouput capacity. Oil prices meanwhile rebounded back above US$89 dollars a barrel as traders bet last week's steep sell-off was overdone. The focus is now on oil cartel OPEC's meeting later this week to discuss the possibility of an output hike. Nina Mehra reporting for Reuters. COMPANIES MENTIONED: SYMBOLS: