Asian stocks rallied as new data was published on the Chinese economy. The pound also reduced as investors waited to see the developments in Brexit.
In the markets:
Asia Pacific’s broadest Index shows that the MSCI held steady and remained unchanged from yesterday. The Chinese Shanghai composite fell by 0.6%, the S&P index was increased by 0.7%, and its futures went down by 0.5%. Japan’s Nikkei was up by 0.2% while the NASDAQ rose by 0.58% and the DOW by 0.69%. Britain’s FTSE 100 saw a rise of 0.11% and the Euronext 100 was up by 0.61%. The Hong Kong Hang Seng was at 0.1%.
The pound was down by 0.5% after it surged by 2%, it finally ended at $1.3275, and Euro was steady and was at $1.1331. The offshore yuan slid by 0.1% and was at 6.7100 for a dollar. The yen was at 111.45 for a dollar with a drop of 0.3%. The Bloomberg Dollar Spot index after an initial drop made a surge.
The gold futures fell by 0.2% to $1,306.69 for an ounce. The crude prices saw an increase of 2.4% from yesterday and the WTI was at $58.41 per barrel with an increase of 0.3%.
The 10-year old Treasury bonds yields in the US was at 2.62%, and the yields of the Australian 10-year bonds was unchanged at 1.96%.
Stocks in Asia show a mixed response
The Asian stocks showed a mixed response as the investors took a cautious approach. The economic data published by the US and with the Federal Reserve putting a pause to the reduction in interest rates, Japanese and the Hong Kong shares increased while there was not much change in the South Korean shares. The S&P index rose as the US data business equipment data showed an increase in orders in January. Meanwhile, the Chinese traders are still not sure of how the second largest economy is reacting to the stimulus provided by the Beijing government. The investors across the world are not sure of the economic growth as the ongoing economic crisis does not seem to abate at all.
On the Brexit deal front, the Sterling which had surged a 2% reaching its highest since June again reduced after the members of parliament rejected the deal to move away from the European Union. Now Theresa May is all set to ask for an extension of the Mar 29 deadline by at least a few months to move away from the EU.