Economy

Global stocks flat as investors await Fed meeting results

Global stocks flat as investors await Fed meeting results”

MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.05 percent.

The Nikkei 225 index rose 1.96%, or 389.88 points, to end at 20,299.38, its highest since August 2015. The Hang Seng Index slid 0.27% while gains on the mainland were subdued.

The Japan share market closed at the highest closing level in over two years on Tuesday, 19 September 2017, bolstered by record highs on Wall Street overnight ahead of a Federal Reserve meeting, dollar's strength against the yen, and the prospect of a snap election in Japan.

The Fed stuck to its rate hike projections for another increase this year and three more in 2018, and said it will start dialling back its US$4.5 trillion stockpile of assets in what's reported to be a decade-long programme trimming the balance sheet by US$10 billion a month.

Tokyo was following Wall Street higher, as United States stocks logged fresh records in advance of this week's meeting of the Federal Reserve, which is expected to announce a drawdown of its massive bond holdings.

"There's some concern among investors as to how this will work, and how it will affect long-term rates". France's CAC gained 0.1 per cent to 5,244.17.

South Korea's KOSPI was down 0.05 percent and the won (KRW=KFTC ) was up 0.2 percent at 1,128.6 to the dollar. China's Shanghai Composite Index added 0.1 percent to 3,359.74. While shrinking the Fed's balance sheet is much expected, when and how the Fed will manipulate its target for short-term interest rates is less clear.

Stocks attracted hefty purchases from the outset Tuesday, thanks to the yen's drop and the Dow Jones industrial average's fifth straight rise Monday, brokers said. It has gained 0.3 percent on the week.

"The anticipated announcement of the start of balance sheet normalisation and the likelihood of the Fed keeping the option of a December rate hike alive has been the catalyst for last night's Dollars move", traders at HiFX said in a note.

Brent crude was up 0.1 percent at $56.50 a barrel after reaching a five-month high of $56.53 overnight.

The Aussie was hurt after Reserve Bank of Australia Governor Philip Lowe said on Thursday that the central bank does not have to follow a general move globally to raise interest rates. On Monday, the two benchmark US indexes extended gains, albeit modestly, to close at record highs.

In late NY trading, the euro rose to $1.1998 from $1.1950 in the previous session, and the British pound gained to $1.3523 from $1.3489 in the previous session, Xinhua news agency reported. It rose 2 cents to $49.91 a barrel on the New York Mercantile Exchange. The euro was steady at $1.1945, sandwiched between support at $1.1836 and resistance at $1.2092. Brent crude, used to price worldwide oils, gained 24 cents to $55.38 per barrel in London.

Japan's Nikkei share average rose to 2-1/2 month highs on Tuesday as investor confidence was boosted by a weakening yen and strong US shares, lifting cyclical stocks such as exporters and financial companies.



Like this

loading...
loading...

Latest


24 September 2017
Leeds Boss Provides Pontus Jansson Update After Win Over Ipswich
It means caretaker manager Lee Carsley is on the board after a day when most teams ended with something to show for their efforts. Goals from Craig Bryson and a Joe Ralls penalty gave Neil Warnock's side their first win in September.

24 September 2017
Pakistan has repeatedly rejected India's offer for talks: Sushma tells UN
Swaraj said India is engaged in fighting poverty but its neighbour Pakistan seems engaged in fighting with New Delhi only. It was a pointed attack at a time when Pakistan is under increasing pressure to clean up its house.

24 September 2017
Natural disaster event detected in northeast North Korea: CENC
US analysts now estimate that North Korea may have as many as 60 nuclear weapons, according to a Washington Post report. The US Geological Survey (USGS), meanwhile, said it could not yet make a judgment as to the cause.

24 September 2017
IPhone 8 Design Makes it hard and Expensive to fix
The iFixit teardown also offered some details on new A11 Bionic six cores chip revealing the new CPU to be layered over SK Hynix. As the new phone features wireless charging, there will be less strain on the lighting port, which gets damaged easily.

24 September 2017
Trump trying to turn around GOP holdouts on health bill
The Alliance for Positive Health supports this effort to ensure access to affordable health insurance coverage. It's so fast, McConnell hasn't had time to make sure he even has the votes to pass it.

24 September 2017
Alliance Data Systems Corporation (ADS) Analysts See $4.80 EPS
The stock of Alliance Data Systems Corporation (NYSE:ADS) has "Buy" rating given on Thursday, December 17 by Sterne Agee CRT. A number of other hedge funds and other institutional investors have also recently added to or reduced their stakes in ADS.

24 September 2017
DU Professor Accused Of Insulting Goddess Durga In Facebook Post, Now-Deleted
Penning the derogatory remarks , he has attracted the ire of several groups and as hurt religious sentiments of people. According to Delhi police Mandal was booked under the Indian Penal Code sections 153A and 295A.

24 September 2017
A breathtaking Dybala helped Juve mortify Torino in Derby della Mole !
In stoppage time, Dybala dinked the ball over Sirigu after good linkup play between Pjanic and substitute Gonzalo Higuain . Stephan El Shaarawy scored twice as Roma maintained their fine form with a 3-1 home win against Udinese.

24 September 2017
Inter Milan plot Jan swap bid for Arsenal midfielder Ozil
The report comes shortly after a SportBild report which claims Ozil wants a reunion with Man United boss Jose Mourinho. He is now recovering from a small injury but could feature for Arsenal against West Bromwich Albion on Monday night.

24 September 2017
Do Institutional Investors Love Cheniere Energy Inc (NYSEMKT:LNG)?
Following the completion of the acquisition, the general counsel now owns 10,022 shares in the company, valued at $421,926.20. Among 5 analysts covering Cheniere Energy Partners LP Holdings LLC ( NYSEMKT:CQH ), 4 have Buy rating , 0 Sell and 1 Hold.