Asian Stocks Up on Recovery Optimism But Tempered by Rising U.S.-China Tensions By

Asian Stocks Up on Recovery Optimism But Tempered by Rising U.S.-China Tensions

© Reuters. – Asian stocks posted modest gains on Tuesday morning, with investors optimistic about the global economic recovery from the COVID-19 virus, with companies re-opening for business and the global economy starting on the long but certain road to recovery.  

Hong Kong’s was up by 0.58% by 10:42 PM ET (3:42AM GMT).   

China’s was up 0.07% and the was up 0.10%, with both indexes reversing earlier gains.

Investor sentiment soured over mounting U.S.-China tensions after China informed state-owned firms on Monday to halt purchases on U.S. agricultural products such as soybeans, as well as cancel some U.S. pork orders.  

China’s actions puts the first phase of the U.S.-China trade deal signed in January, and is the latest move in the tit-for-tat between the two countries, with the latest round triggered by China’s National People’s Congress almost unanimously voting to draft and enact national security laws for Hong Kong and Macau during the previous week.  

Japan’s rose 0.99% and South Korea’s gained 0.85%.  

Down Under, the rose 0.01%. The Reserve Bank of Australia will announce its interest rate decision later in the day.  

Meanwhile, investors were also spooked after U.S. President Donald Trump threatened on Monday to use force to quell the ongoing protests in dozens of U.S. cities over the death of George Floyd.  

“If American consumers were reluctant to come out of their COVID-19 lockdown cocoon fearing a secondary spreader, it’s unlikely they will feel any safer with military Humvees rolling down Pennsylvania Avenue,” Stephen Innes, Chief Global Markets Strategist at AxiCorp, said in a note.  

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

Source link

Leave a Reply

Your email address will not be published. Required fields are marked *

About us

InvestLab is a financial services technology company focused on the global trading market. Founded in 2010 in Hong Kong, the company develops trading, market data, and social research products that enable individual investors and small to mid-size brokers to access global markets. We provide brokers and financial institutions cross border capabilities for retail investors into 43 markets globally.