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Asian Stock Market: Indices rebound as DXY weakens, China’s growth in trouble, oil near $75.00

  • Asian stocks have rebounded as the DXY has turned subdued ahead of US Durable Goods data.

  • World Bank has cut growth projections for China amid Covid-19 issues and a real estate crunch.

  • The BOJ has announced an unscheduled bond-buying program.

Markets in the Asian domain have rebounded as the US dollar index (DXY) has weakened after failing to sustain above the critical hurdle of 115.00. The DXY is witnessing pressure amid lower consensus for the US Durable Goods Orders data. As per the preliminary estimates, the apparels durables data will tumble by 1.1%.

At the press time, Japan’s Nikkei225 gained 0.50%, ChinaA50 added 0.27% while Hang Seng dropped more than 1%.

Chinese equities are getting support despite a decline in the growth projections by the World Bank. The giant lender believes that China’s longer zero-tolerance approach towards Covid-19 and the real estate crisis have trimmed its growth rate. Demand for steel, base metals, cement, and other building materials has declined firmly. Also, the eastern developing economies will perform better as much business will shift to them.

In today’s session, the US Durable Goods Orders data will be of utmost importance. The economic data will remain subdued as higher interest rates by the Federal Reserve (Fed) and soaring core Consumer Price Index (CPI) numbers have forced individuals to postpone their current purchasing plans.

Meanwhile, the Bank of Japan (BOJ) has announced an unscheduled bond-buying program. The central bank is offering to buy JPY 250 billion worth of Japanese Government Bonds (JGBs).

On the oil front, oil prices have displayed a less-confident rebound after dropping to nearly $75.00. The pullback move seems a result of a subdued performance by the DXY. The oil prices will continue to remain on the tenterhooks as fears of the global recession are skyrocketing.

Nikkei 225

Overview
Today last price26602.76
Today Daily Change0.00
Today Daily Change %0.00
Today daily open26602.76
 
Trends
Daily SMA2027642.78
Daily SMA5027913.05
Daily SMA10027320.51
Daily SMA20027331.93
 
Levels
Previous Daily High26738.36
Previous Daily Low26480.18
Previous Weekly High27768.51
Previous Weekly Low26478.1
Previous Monthly High29245.74
Previous Monthly Low27530.7
Daily Fibonacci 38.2%26639.74
Daily Fibonacci 61.8%26578.8
Daily Pivot Point S126475.84
Daily Pivot Point S226348.92
Daily Pivot Point S326217.66
Daily Pivot Point R126734.02
Daily Pivot Point R226865.28
Daily Pivot Point R326992.2

Author

Sagar Dua

Sagar Dua

FXStreet

Sagar Dua is associated with the financial markets from his college days. Along with pursuing post-graduation in Commerce in 2014, he started his markets training with chart analysis.

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