Asian stocks soared before the US presidential election

Asian stocks soared before the US presidential election

Asia’s stock indexes all rallied in the morning session on November 3 after the Australia Central Bank’s interest rate decision.

Mainland Chinese stock markets flourished in this morning session on November 3. Photo: AFP

On the mainland Chinese stock market, the Shanghai Composite Index rose 0.76% this morning while the Shenzhen Component Index edged up 0.123%. Meanwhile, Hong Kong’s Hang Seng index soared to 1.57% at the beginning of the session.

Korean stocks also rebounded strongly with the Kospi index up 1.54%. In Australia, the S & P / ASX 200 index rose the most in the region with an increase of 2% after the Australian Central Bank lowered the cash deposit interest rate to 0.1%. After the move of the Australian Central Bank, the Australian dollar slid slightly and changed hands by 1 AUD / 0.7038 USD.

Australia’s interest rates are on track to drop to negative, but that gap is still far away, said Paul Bloxham, chief economist on Australia, New Zealand and global commodities at HSBC Bank after the move down the interest rates of the Australian Central Bank; at the same time quoted the Governor of Australia Central Bank that negative interest rates are “unlikely to happen”.

The MSCI Asia-Pacific Index (excluding Japan) rose 0.84%. Today’s Japanese market is closed for a holiday.

The race to enter the White House between incumbent President Donald Trump and former Vice President Joe Biden is about to end, dominating investor sentiment.

Wall Street stocks last night cut the slide from last week and rebounded strongly. The Dow Jones industrial average rose 423.45 points, or 1.6%, and ended the session with 26,925.05 points. The S&P 500 index closed with 3,310.24 points, up 1.2%. The Nasdaq Composite edged up 0.4 percent to 10,957.61 points.

On the money market, the US dollar index against other major currencies rose to 94,033, from 93.5 in the previous session. Japanese Yen depreciated and converted 104.73 JPY / USD compared to 104.8 JPY / USD set yesterday.

Oil prices on the Asian market fell this morning. Futures prices for Brent crude fell 0.46% to $ 38.79 / barrel while US crude futures fell by 0.3% to $ 36.70 / barrel.