Asian stocks cheer trade optimism ahead of G20
|- Not only the US but China have also stepped forward while conveying brighter chances of a trade deal.
- G20 will gain major market attention while US GDP can also be observed for near-term directives.
While late-Wednesday’s trade positive comments from the US Treasury Secretary Steve Mnuchin initially pleased the Asian share buyers, statements favoring the odds of the US-China trade deal by the Chinese media offered additional strength to market optimists and extended the stock momentum to the north during early Thursday.
With the rising hope of a trade deal between the world’s two largest economies, MSCI’s index of Asia-Pacific shares ex-Japan is up 0.89% whereas Japan’s Nikkei gains 0.84% by the press time.
China’s Hang Seng marks more than 1.13% while India’s BSE Sensex also cheers the US secretary of state Mike Pompeo’s visit despite trade/defense differences with the world’s biggest economy.
Australia’s ASX 200 seems cold-blooded to the trade news/China’s upbeat industrial profits as it is barely in the positive region. Same is the case with New Zealand’s NZX50.
Market risk tone, as reflected from the US 10-year treasury yield, remains upbeat around 2.054%.
Even if 2-day long gatherings of global leaders in Japan (G20 on June 28-29) is likely to remain in the spotlight, the final reading of the US gross domestic product (GDP) data for first quarter 2019, likely 3.1% annualized on QoQ basis, can also affect the market momentum.
Information on these pages contains forward-looking statements that involve risks and uncertainties. Markets and instruments profiled on this page are for informational purposes only and should not in any way come across as a recommendation to buy or sell in these assets. You should do your own thorough research before making any investment decisions. FXStreet does not in any way guarantee that this information is free from mistakes, errors, or material misstatements. It also does not guarantee that this information is of a timely nature. Investing in Open Markets involves a great deal of risk, including the loss of all or a portion of your investment, as well as emotional distress. All risks, losses and costs associated with investing, including total loss of principal, are your responsibility. The views and opinions expressed in this article are those of the authors and do not necessarily reflect the official policy or position of FXStreet nor its advertisers.