MONEY MARKETS-NZ swaps edge higher after manufacturing data

HONG KONG, March 8 (Reuters) - New Zealand swap rates rose on Monday after robust manufacturing and building data pointed to a further economic recovery, with the market already under pressure from encouraging U.S. jobs and consumer numbers.

The upbeat data was the factor behind higher rates in many markets across Asia with South Korean swaps rising despite the finance minister's comments that it is too premature for the central bank to raise rates.

In New Zealand swaps rose but ended off highs with the one year contract NZDSM3NB1Y= closing one basis point higher at 3.35 percent after rising to a peak of 3.40 percent.

This follows the release of data which showed manufacturing volumes rose a seasonally adjusted 3.1 percent in the three months ended Dec 31, the first rise in five quarters and lifted sales from the near-three year lows in the previous quarter.

"There was a sell-off in the global rates market following the non farm payrolls numbers in the US," said ANZ-National Bank senior markets economist Khoon Goh adding that markets were initially catching up to Friday's move.

"We also had a strong manufacturing data for Q4 pointing to a possibility of robust numbers for GDP which is due out later this month. That provided a bit more bias on the paying side."

Earlier, data in the U.S. showed employers cut fewer jobs than expected during snow-battered February and the unemployment rate held steady at 9.7 percent, bolstering views the economy was on the brink of creating jobs.

In South Korea, swaps rose and bond futures fell, reversing some of Friday's move, following the U.S. data which encouraged a move away from safe haven assets.

Financial markets in Seoul are already cautious ahead of the South Korean central bank's interest rate review on Thursday.

The Bank of Korea is widely expected to hold the benchmark interest rate at a record low of 2.0 percent for a 13th consecutive month, but traders will also keep a close eye on the governor's news conference.

One year swap KRQMCD1Y=KMBC rates rose one bps to 3.28 percent with the two to five year segments also up by 3-4 bps.

The March contract on 3-year treasury bond futures KTBc1 fell 2 ticks to 110.72, with as the finance minister's comments only had a brief impact, with improved ap[petite for risk y assets like stocks taking the shine off fixed income products.

On Monday, South Korean Finance Minister Yoon Jeung-hyun said it was clearly premature for the central bank to raise interest rates because the private sector has yet to secure self-recovery capability.

He also said asset prices and inflation data showed there was no immediate pressure for higher rates. (Reporting by Umesh Desai; Editing by Jan Dahinten)