Even as reports of great progress in trade negotiations between the US and China is coming in, the Asian shares increased to a seven month high as investors became happy with the progress. The oil prices also reached $70 for a barrel as the supply was reduced.
In the markets:
Asia-Pacific shares rose by 0.5% reaching its highest in seven months. With China reporting positive factory output data and the reports of trade issues getting resolved, the index has risen by 3% in the past few days. It is not just the stocks, but even the equities are rallying and have risen by 0.2% after an economic advisor from White House, Larry Kudlow said that he expects ‘to make more headway’ in talks with China. Hong Kong’s Hang Seng also saw a rise of 0.7%. The Chinese blue-chips remained unchanged.
Japan’s Nikkei index increased by 0.8% and Australian shares also rose by 0.8% as its leading trade partner China saw a better factory output. The NASDAQ saw a rise of 0.25% and the Dow fell by 0.3% and the S&P 500 index remained unchanged.
The 10-year treasury bond yields were up by 2.5027% from a previous close of 2.479%, and the 2-year yield was at 2.3240 up from its previous close of 2.308%.
The dollar was strong and rose by 0.15% against the yen and was at 111.48. The dollar index was at 97.206 a rise by 0.16%. The euro stood at $1.1221 a rise of 0.17%. The pound recovered a bit as UK PM Theresa May said that she will ask for an extension of Brexit deadline to work out a better deal for the EU divorce.
In the cryptocurrency world, the Bitcoin saw an increase of 18.7% after a buyer placed major orders which helped to extend gains to $5,027.10.
Gold remained unchanged and was at $1,292.67 for an ounce on spot trading.
As news of new sanctions on Iran which is one among the large oil producers in OPEC and stopping of oil production in Venezuela came in, the oil prices shot up.
The Brent Crude oil was a touch lower than $70 mark and was at $69.87 for a barrel reaching its highest in many months due to concerns about oil supply. The WTI crude also rose to $62.84 for a barrel a rise of 0.42%.