Asian Stocks Mixed On Fading U.S. Stimulus Hopes, Virus Concerns

NEW YORK: Asian markets were off to a mixed start on Thursday as hopes of U.S. fiscal stimulus before the presidential election faded and a record number of new coronavirus infections in parts of Europe propelled investors toward safe-havens such as gold.

Downbeat comments from U.S. Treasury Secretary Steven Mnuchin that a stimulus deal was unlikely be made before the Nov. 3 vote weighed on fragile investor sentiment.

With COVID-19 cases surging, some European nations are closing schools as authorities braced for a repeat of the nightmare scenario seen earlier this year.

In a mixed Asian open, Australian equities bucked Wall Street declines, opening slightly higher because of “good support” for material and mining stocks, said Michael McCarthy, CMC Markets chief market strategist.

MSCI’s broadest index of Asia-Pacific shares outside Japan slipped 0.1%.

Australia’s S&P/ASX 200 rose 0.6%, while Japan’s Nikkei 225 fell 0.3%. Hong Kong’s Hang Seng index futures were down 0.49%.

E-mini futures for the S&P 500 were flat.

On Wall Street, the Dow Jones Industrial Average fell 0.58%, the S&P 500 lost 0.66% and the Nasdaq Composite dropped 0.8%.

Bank of America fell 5.3% and Wells Fargo , both U.S. banks, tumbled 6% after a disappointing quarterly results.

Gold gained 1% on Wednesday, rebounding from a sharp decline in the previous session, boosted by a weaker U.S. dollar and economic uncertainties.

Spot gold added 0.5% to $1,900.89 an ounce.

The Australian dollar slid to a one-week low of $0.7129 on Thursday morning after dovish comments from the central bank governor that suggest another rate cut is possible.

E-mini futures for the S&P 500 were flat.

Australia is set to release September unemployment data on Thursday.

Tensions between Beijing and Washington remain in view as the U.S. State Department has submitted a proposal for the Trump administration to add China’s Ant Group to a trade blacklist, according to two people familiar with the matter, before the financial technology arm of e-commerce giant Alibaba is slated to go public.

Investors are also tracking Brexit talks, as the deadline for a pact on the European Union’s relations with Britain nears. EU leaders meeting on Thursday and Friday will tell their Brexit negotiator Michel Barnier to step up talks to get a deal by Jan. 1, 2021.

The U.S. dollar index , which measures the greenback against a basket of six major currencies, fell 0.15%, after pulling its best day in three weeks on Tuesday, with the euro unchanged at $1.1746.

In a sign that some investors preferred traditionally safer assets for now, the yen gained 0.4% to hit a near two-week high of 105.11 against the dollar.

A weaker dollar, which makes oil cheaper for holders of other currencies, supported oil prices.

Brent crude gained 92 cents, or 2.2%, to $43.37 a barrel, while U.S. West Texas Intermediate added 87 cents, or 2.2%, to $41.0.

Disclaimer: This post has been auto-published from an agency feed without any modifications to the text and has not been reviewed by an editor

Speak Your Mind

LEAVE A REPLY

Please enter your comment!
Please enter your name here

Get in Touch

350FansLike
100FollowersFollow
281FollowersFollow
150FollowersFollow

Recommend for You

Oh hi there 👋
It’s nice to meet you.

Subscribe and receive our weekly newsletter packed with awesome articles that really matters to you!

We don’t spam! Read our privacy policy for more info.

You might also like

How Celebrities Are Using TikTok To Encourage Best...

Actress Ashley Tisdale visits SiriusXM Studios on December 02,...

How AI And Data Science Are Helping To Understand...

How AI and data science are helping to understand...

Fantasy Premier League Players To Watch As English Football...

Raul Jimenez of Wolverhampton Wanderers is a must-own for...

AFC Championship Game 2021: Chiefs Vs. Bills Schedule, Bracket,...

Photo by Bryan M. Bennett/Getty Images) Getty Images The...