Asian stock markets surged Friday as financial data and company earnings boosted confidence that a revival from the worldwide slump is in progress.

South Korea's benchmark index made a modest gain after news that Asia's fourth-biggest financial system grew at its fastest rate in the last six years during the second quarter, adding to proof the region is improving.

Better-than-expected U.S. business earnings have added to the case for an economic turnaround while a jump in home sales prompted the Dow Jones industrials to its first close above 9,000 since January.

Tokyo shares surged around 1%, whereas oil rates largely held onto the big gains made overnight amid indications the U.S. economic system, the world's largest, is bettering.

But there are still distressing signs about whether the huge gains in world markets since March can be maintained.

Peter Lai, investment manager at DBS Vickers in Hong Kong said, “What is happening in the markets is quite irrational.”

“The global economic situation doesn't justify the rise in stock prices. The rally is driven by liquidity and hot money not by fundamentals,” Lai added.

Japan's Nikkei 225 stock average gained 134.78 points to 9,927.72, while Hong Kong's Hang Seng went up by 92.25 points at 19,909.95.

South Korea's Kospi was trading 0.3% up after numbers showed the financial system climbed 2.3% during the second quarter as increased government expenditure and record low interest rates helped to protect it from the worldwide slump.

China's Shanghai market surged 1.8%, ignoring worries that a construction company's massive share sale could weigh on stock prices.

In the U.S. on Thursday, Wall Street was climbed up by news that subsisting home sales surged during June 2009 for the third consecutive month and by a higher-than-expected amount.

The Dow Jones Industrials increased almost 190 points to 9,069.29, its highest level since November, and all the other big indexes surged over 2%.