- Asian stocks are better bid, S&P 500 futures report marginal gains.
- The treasury yield curve is flattest in more than 10 years.
Asian stocks are flashing green despite the moderate drop in the Dow Jones Industrial Average (DJIA).
As of writing, Japan's Nikkei index is up 0.70 percent or 157 points. Shares in Japan and Australia climbed while those in South Korea are little changed. The MSCI Asia Pacific Index is up 0.2 percent. Meanwhile, the S&P 500 futures are trading flat to positive.
The bid tone could be associated with fading geopolitical tensions. The US is seeking to dial down tensions with North Korea and Russia. Meanwhile, Trump and Abe have agreed to intensify trade consultations between the two countries, according to Reuters, however, so far, both sides haven't talked about concrete measures aimed at reducing the US trade deficit with Japan.
Also, the uptick in the stocks indicates the investors are not concerned about the flattening yield curve. As of writing, the spread between the US 10-year treasury yield and the 2-year treasury yield is 44 basis points - the lowest since October 2007.
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. The author will not be held responsible for information that is found at the end of links posted on this page.
If not otherwise explicitly mentioned in the body of the article, at the time of writing, the author has no position in any stock mentioned in this article and no business relationship with any company mentioned. The author has not received compensation for writing this article, other than from FXStreet.
FXStreet and the author do not provide personalized recommendations. The author makes no representations as to the accuracy, completeness, or suitability of this information. FXStreet and the author will not be liable for any errors, omissions or any losses, injuries or damages arising from this information and its display or use. Errors and omissions excepted.
The author and FXStreet are not registered investment advisors and nothing in this article is intended to be investment advice.