Space Travel News
TRADE WARS
Asia extends global stocks rally on rate optimism, jobs in focus
Asia extends global stocks rally on rate optimism, jobs in focus
by AFP Staff Writers
Hong Kong (AFP) Nov 3, 2023

Equities extended a global rally Friday as investors were caught up in a wave of optimism that the Federal Reserve has finished its cycle of interest rate hikes, with eyes now on the release of US jobs data.

After a fallow past two months, markets have recovered some of their mojo after the US central bank left borrowing costs on hold for a second straight meeting and hinted that no more increases were likely.

While boss Jerome Powell left the door open for another lift as officials battle to bring inflation down, traders were sceptical of such a move, with elevated Treasury yields seen acting as a substitute for more tightening.

The news provided fresh hope that the Fed will be able to guide the world's number one economy to a so-called soft landing and avoid a recession.

It also lit a fuse under equities Wednesday and the rally continued in Asia going into the weekend.

"Asian stocks are coat-tailing the bullish momentum in US stocks and long-dated Treasuries as investors read in the tea leaves the strong possibility that the Federal Reserve has completed its cycle of rate hikes," said Stephen Innes, at SPI Asset Management.

He added that the payrolls report later Friday would be pivotal.

"Too hot or cold could swing the pendulum to more 'watchful waiting' to see how the Fed responds or, worse, more imminent recession fear if the print misses by a wide margin.

"But coming in near or on the breadth of economists' guesses would probably hit a high note for investors."

Hong Kong jumped more than two percent with Singapore, while Sydney, Seoul and Bangkok added more than one percent. There were also gains in Shanghai, Mumbai, Manila, Taipei, Wellington and Jakarta.

London, Paris and Frankfurt opened on the front foot.

Solita Marcelli, at UBS Global Wealth Management, saw Treasuries falling further in the new year, and added: "The improving outlook for a softish landing for the US economy should also provide a positive backdrop for equities."

And Capital Group's Andy Budden added that "the really big message for investors is that this moment of central banks peaking is likely to be the opening of a window where it's going to be a really good time to get invested".

However, others cautioned that Treasury yields could remain elevated -- keeping pressure on rates -- if the economy continued to perform strongly, exacerbated by Fed plans to sell more debt.

Barclays co-head of global markets Stephen Dainton warned that this being the end of Fed tightening was "very unlikely".

Still, traders are upbeat for now, with the dollar weakening as they get the confidence to find higher-risk currencies.

Oil was flat, having rallied more than two percent as traders bet on a pick-up in demand thanks to the more dovish rates outlook.

The gains -- helped by a weaker dollar -- came after a run of losses caused by hope that the Israel-Hamas war has been contained and will not spill into a wider conflict in the crude-rich region.

But analysts said traders remained wary that the crisis could turn at any moment, and prices could quickly spike past $100.

- Key figures around 0810 GMT -

Hong Kong - Hang Seng Index: UP 2.5 percent at 17,664.12 (close)

Shanghai - Composite: UP 0.7 percent at 3,030.80 (close)

London - FTSE 100: UP 0.4 percent at 7,473.67

Tokyo - Nikkei 225: Closed for a holiday

Dollar/yen: DOWN at 150.32 yen from 150.48 yen on Thursday

Euro/dollar: UP at $1.0629 from $$1.0626

Pound/dollar: DOWN at $1.2201 from $1.2204

Euro/pound: UP at 87.13 pence from 87.04 pence

West Texas Intermediate: UP 0.6 percent at $82.91 per barrel

Brent North Sea crude: UP 0.5 percent at $87.25 per barrel

New York - Dow: UP 1.7 percent at 33,839.08 (close)

Related Links
Global Trade News

Subscribe Free To Our Daily Newsletters
Tweet

RELATED CONTENT
The following news reports may link to other Space Media Network websites.
TRADE WARS
Stocks rally and dollar drops on hopes Fed rates have peaked
Hong Kong (AFP) Nov 2, 2023
Stocks and oil prices rose while the dollar weakened Thursday as a much-needed burst of confidence flows across world markets after the Federal Reserve hinted it has come to the end of its long-running interest rate hiking cycle. Asian traders picked up the baton from their Wall Street counterparts, who welcomed what was seen as a dovish stance by the central bank and its governor, while data suggesting its tightening measures were taking hold provided extra support. The bank said it would pause ... read more

TRADE WARS
TRADE WARS
Scientists discover molten layer covering Martian core

NASA is locating ice on Mars with this new map

Mystery of the Martian core solved

Ascending Fang Turret: Sols 3991-3993

TRADE WARS
European Service Module for Artemis II connected to Orion vehicle

NASA supports tests of dust sensor to aid lunar landings

CADRE rover getting prepped for testing

Next generation Moon camera tested in Europe

TRADE WARS
Salts and organics observed on Ganymede's surface by June

New jet stream discovered in Jupiter's upper atmosphere

Uranus aurora discovery offers clues to habitable icy worlds

How NASA is protecting Europa Clipper from space radiation

TRADE WARS
ET phone Dublin? Astrophysicists scan the Galaxy for signs of life

Exoplanet-informed research helps search for radio technosignatures

Webb detects tiny quartz crystals in clouds of hot gas giant

Extreme habitats: Microbial life in Old Faithful Geyser

TRADE WARS
SpaceX launches 23 Starlink Internet satellites after aborted mission

Hot summer for Europe's reusable rocket engine

Nighttime rehearsal for Ariane 6 towards first flight

Marking 25 Years since Deep Space 1 kickstarted Ion propulsion

TRADE WARS
Chinese astronauts return to Earth after 'successful' mission

China discloses tasks of Shenzhou-17 crewed space mission

Shenzhou 17 docks with Tiangong Space Station

China able, ready to invite foreign astronauts to its space station

TRADE WARS
Daily Minor Planet volunteers spot an asteroid passing close to Earth

Data from NASA's WISE used to preview Lucy mission to Asteroid Dinkinesh

Smithsonian set to open Asteroid Bennu sample display

UArizona researchers probe how a piece of the moon became a near-Earth asteroid

Subscribe Free To Our Daily Newsletters




The content herein, unless otherwise known to be public domain, are Copyright 1995-2024 - Space Media Network. All websites are published in Australia and are solely subject to Australian law and governed by Fair Use principals for news reporting and research purposes. AFP, UPI and IANS news wire stories are copyright Agence France-Presse, United Press International and Indo-Asia News Service. ESA news reports are copyright European Space Agency. All NASA sourced material is public domain. Additional copyrights may apply in whole or part to other bona fide parties. All articles labeled "by Staff Writers" include reports supplied to Space Media Network by industry news wires, PR agencies, corporate press officers and the like. Such articles are individually curated and edited by Space Media Network staff on the basis of the report's information value to our industry and professional readership. Advertising does not imply endorsement, agreement or approval of any opinions, statements or information provided by Space Media Network on any Web page published or hosted by Space Media Network. General Data Protection Regulation (GDPR) Statement Our advertisers use various cookies and the like to deliver the best ad banner available at one time. All network advertising suppliers have GDPR policies (Legitimate Interest) that conform with EU regulations for data collection. By using our websites you consent to cookie based advertising. If you do not agree with this then you must stop using the websites from May 25, 2018. Privacy Statement. Additional information can be found here at About Us.