Stock market: Asian shares rise
Asian stock markets followed Wall Street higher on Wednesday after US President Joe Biden reassured investors by calling for vaccinations and testing but no travel restrictions in response to the variant. coronavirus Omicron.
Tokyo, Hong Kong and Seoul rose while Shanghai fell below 0.1%.
Wall Street rallied, breaking three-day losses and recovering the previous day’s losses.
Biden announced the government would provide 500 million free rapid testing kits and ramp up immunization efforts but gave no indication of plans for travel bans or other restrictions that could disrupt the background. economy. Other governments in Asia and Europe have tightened travel controls or pushed back pre-existing plans to ease curbs.
Biden “provided some much-needed assurances to the markets,” IG’s Yeap Jun Rong said in a report.
The Shanghai Composite Index fell to 3,623.14 while the Nikkei 225 in Tokyo gained 0.2 percent to 28,562.21. The Hang Seng in Hong Kong rose 0.2% to 23,004.11.
Kospi in Seoul rose 0.3% to 2,984.48, while Sydney’s S&P-ASX 200 rose 0.1% to 7,364.80. India’s Sensex rose 0.7% to 56,699.01.
New Zealand fell while Southeast Asian markets rose.
Traders were confused by official claims that Omicron was spreading faster than expected after a bull market in airline, cruise line, oil and travel-related stocks different from the expectation that stricter control measures can be avoided.
That comes amid expectations of tighter U.S. monetary policy after the Federal Reserve said last week it would accelerate plans to ease the stimulus that boosted stock prices. The Fed changed course after inflation surged to a four-decade high of 6.8% in November.
Traders are also worried about the impact of global supply chain disruptions that are stoking fears of higher inflation.
On Wall Street, the benchmark S&P 500 index rose 1.8 percent to 4,649.23. The benchmark index is within 1.4% of its all-time high on December 10.
The Dow Jones Industrial Average rose 1.6% to 35,492.70. The Nasdaq composite rose 2.4% to 15,341.09.
Nearly 5 stocks rose for every share that fell on the New York Stock Exchange.
Citrix Systems rallied 13.6% to post the biggest gain in the S&P 500. Micron Technology rallied 10.5% after the chipmaker gave investors an encouraging profit forecast.
Retailer. Restaurant chains and other companies that rely on consumer spending also increased. Tesla is up 4.3%, Amazon.com is up 2% and Starbucks is up 2.1%.
In the energy market, benchmark US crude rose 12 cents to $71.24 a barrel in electronic trading on the New York Mercantile Exchange. The contract rose $2.89 on Tuesday to $71.12. Brent crude, the base price for international oils, fell 2 cents to $73.96 a barrel in London. It rose $2.46 in the previous session to $73.98.
The dollar rose to 114.16 yen from Tuesday’s 114.12 yen. The euro fell to $1.1267 from $1.1282.