TOKYO/NEW YORK (Reuters) – Asian shares rose to a two-month high on Thursday, as the government stimulus expectations supported investors ‘ confidence in an economic recovery from the global corona-virus-pandemic.
FILE PHOTO: An investor sitting next to a stock quotation board at a brokerage office in Beijing, China, 3. December 2020. REUTERS/Jason Lee
MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.4%, earlier touching the highest since 9. March.
Shares in Australia rose 0.66% after the country’s prime minister, unveiled a fourth economic to repair package for the economy.
Chinese shares were little changed, due to the ongoing concerns over diplomatic tensions between the United States and China, while the U.S. share fell futures 0.23%.
The euro hero on gains, before a European Central Bank meeting later on Thursday to increase where the policy is expected to support debt purchases, the Block’s most vulnerable economies.
Oil prices fell, reversing gains from the previous session, due to the uncertainty about the supply cuts by the major producers.
Markets for risk assets have been on a tear, the some of the stock indices in the eyes, or on the steps in front of the corona-virus-outbreak
The Nasdaq Composite, S&P 500 and the Dow Jones Industrial Average, overtaking short, the all-time closing highs registered in October.
“Provision of liquidity by the Central banks and expectations of more to come – it is in support of the recent drive in the risk markets,” ANZ Research senior economist, Liz Kendall, and strategist David Croy said in a note early on Thursday.
The difference lies in Asia, Japanese shares snapped a three-day winning streak and fell just 0.06%.
Hong Kong’s stock exchange, a gift to the early gains and traded 0.12% lower due to the concern about Beijing’s plans for a new law for the national security of the former British colony.
The euro is the hero of a near multi-month highs in Asia, amid growing expectations of the ECB, the size of the 750-billion-euro ($669 billion) pandemic-emergency-increased buying program when it meets on Thursday.
The yield on the benchmark 10-year eased slightly to 0.7425% in Asia on Thursday.
A closely watched part of the U. s. Treasury yield curve, measuring the gap between yields on two – and 10-year Treasury notes reached 55 basis points on Thursday, the steepest level since mid-March. A steepening curve, or points to a stronger economy.
Governments around the world have gradually begun to lift, to include as a tough lockdown measures imposed, which has killed infected with the corona virus almost 6.4 million people and about 379,000.
Markets expected on Friday, the U.S. labor Department’s September jobs report, which is expected to show the unemployment rate rising to a post-World war Two high of almost 20%, from 14.7% at the end of April.
On Wednesday, a report showed U.S. private payrolls fell less than in may expected, suggesting layoffs were decay companies, and jonti.
U.S. crude oil dipped 1.85% to $36.60 per barrel. Brent crude oil fell 1.18% to $39.32 per barrel.
Spot gold rose 0.4% to $1,704.31 an ounce early on Thursday after the loss of 1.6% on Wednesday.
Reporting by Stanley White in Tokyo, and David Henry in New York; editing by Sam Holmes and Lincoln Feast.