Asian stocks refrained from following their global counterparts on Wednesday as lack of earnings’ boost, stronger US Dollar and expectations of a monetary easing halt from China drew major attention.
Wall Street took the green on Tuesday after upbeat earnings from Twitter, Coca Cola, United Technologies and Lockheed Martin pleased equity buyers. The DJIA grew 0.55% to 26,657 while S&P closes at the record high of 2,934 and Nasdaq grew to 8,121 with 1.30% gains.
MSCI’s index of Asia-Pacific shares ex-Japan was down nearly 0.5% by the press time whereas Japan’s Nikkei was also losing around 0.30%. The biggest loser was South Korea’s KOSPI that slid more than 1.0% while 0.90% and 0.70% respective gains by Australia’s ASX200 and New Zealand’s NZX50 stood on the other end. The antipodeans took advantage of speculations suggesting a May month rate-cut from the Reserve Bank of Australia (RBA) after today’s sluggish print of quarterly inflation numbers.
China’s HANG SENG was 0.75% in red by the time of writing as investors keep expecting less stimulus from the dragon nation while going forward. Additionally, India’s BSE Sensex was little changed due to swift in market mood amid on-going national elections.
Risk-tone in the market was also weighing a bit heavier as 10-year US treasury yields are presently losing one basis point (bp) to 2.55% after shedding two bps yesterday.
Investors have started reacting positively to the latest news from the US that the lawmakers are likely to head again to Beijing for final trade talks ahead of Chinese leaders’ meet during early May. However, pessimism surrounding Brexit and antipodeans, coupled with lack of economic data, could keep limiting the equity market gains.
Share
