Asian Stock Market: Bulls and Bears jostle over stimulus, coronavirus news


  • Asian shares trade mixed, trim early-day gains, as virus woes attack bank rally.
  • Fiscal stalemate in the US congress, Brexit and a light calendar add to the pessimism.

Having earlier cheered the run-up in bank stocks, Asian equities revisit the day’s low while heading into Friday’s European session. The reason could be spotted from the latest coronavirus (COVID-19) updates as well as fears of no American relief package before the presidential election. Furthermore, uncertainty over Brexit and downbeat news from COVID-19 vaccine producers also weigh on the risk tone.

That said, MSCI’s index of Asia-Pacific shares outside Japan dropped 0.10% whereas Japan’s Nikkei 225 mark 0.40% intraday losses to 23,400 by the time of the press. Further, Australia’s ASX 200 and New Zealand’s NZX 50 are losing around 0.50% and 0.80 respectively as we write.

While Nikkei couldn’t cheer the news government’s readiness to use an emergency budget for the stimulus, news that Japan doesn’t want to entertain the Trump administration’s anti-China policy also failed to please the Tokyo traders. On the other hand, China’s addition of Aussie cotton into the “No Australian things” list disappointed Antipodeans and dragged bears.

Elsewhere, US President Donald Trump, House Speaker Nancy Pelosi and Senate Majority Leader Mitch McConnel couldn’t convince market players that they’re working hard to offer the much-awaited COVID-19 stimulus. The presidential election candidate Joe Biden promised wider vaccine availability in the US but nobody cared for the “town hall”-styled question and answers.

Shares in Hong Kong gained 0.80 and so do their counterparts from India propelling BSE Sensex up by 0.40% to 39,885 by the time of the press. Alternatively, Indonesia’s IDX Composite and South Korea’s KOSPI are joining their Pacific friends with losses below 1.0%.

Also portraying the market mood is oil price weakness of around 1.0% as well as S&P 500 Futures’ mixed moves, currently up 0.10% to 3,478. Further, US 10-year Treasury yields remain sluggish around 0.73% while the US dollar index (DXY) bulls catch a breather after refreshing the monthly top the previous day.

Looking forward, Brexit updates from the EU summit and US aid package news can entertain traders while disappointment over the virus outbreak in Europe may continue to exert pressure on the risks. Talking about the data, US Retail Sales and Michigan Consumer Sentiment Index, for September and October respectively, will try to decorate the calendar.

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.

Feed news

Latest Forex News


Latest Forex News

Editors’ Picks

EUR/USD bounces from 1.18 after robust German Manufacturing PMI

EUR/USD is trading above 1.18 after German Manufacturing PMI beat estimates. Other PMIs missed expectations. US fiscal stimulus and the election developments are eyed.

EUR/USD News

GBP/USD retreats amid mixed Brexit headlines

GBP/USD has retreated from the highs around 1.31 after UK minister Truss reiterated that the UK could leave without a deal. Ireland´s Coveney expressed more optimism. UK retail sales beat estimates while PMIs were mixed.

GBP/USD News

XAU/USD's reversal from $1,914 contained at $1,895 support area

Gold’s upside attempt witnessed during the Asian and European trading sessions has been halted at $1,914 on the Early US session as market sentiment plunged and the precious metal has dropped to find support at $1,895.

Gold News

Forex Today: Dollar clings to gains after the presidential debate, Bitcoin extends gains, PMIs eyed

The US dollar is holding onto Thursday's recovery, The presidential debate was more civilized than the previous one and post-event opinion polls are awaited. Earlier, hopes for a stimulus bill faded and allowed the dollar to recover. PMIs and COVID-19 statistics stand out on Friday.

Read more

WTI hits one-week low at $39.55 after Baker Hughes’ report

Front-month WTI futures’ reversal from day tops near $41 has extended to one-week lows at $39.55 on Friday after Baker Hughes reported that US oil and gas rigs increased to their highest level since May last week.

Oil News

Forex MAJORS

Cryptocurrencies

Signatures