Nikkei 225 before more Central Bank of Japan interest rate decision
Asia-Pacific stocks fell into chaos in the morning session on December 18 before adding the Central Bank of Japan to issue a decision on interest rates and monetary policy.
|The Nikkei 225 index slipped slightly by 0.05% in the morning session of December 18. Photo: AFP|
In Japan, the Nikkei 225 this morning sank 0.05% while the Topix index edged up 0.13%. The Korean stock market this morning was also quiet with the Kospi index going flat.
Meanwhile, mainland Chinese stocks declined at the beginning of the session. The Shanghai Composite Index lost 0.17% while the Shenzhen Component Index fell 0.113%. The Hong Kong market this morning was also in red with the Hang Seng Index down 0.35%.
S & P / ASX 200 Index Australia’s loss this morning 0.47%. Overall, the MSCI Asia-Pacific (excluding Japan) this morning fell 0.14%.
The Bank of Japan is expected to announce interest and monetary policy at the end of December 18. “Most forecasts agree that the Central Bank of Japan will extend the special support program for businesses, while maintaining interest rate policy and quantitative easing program (QE),” he said. Rodrigo Catril, currency expert at the National Bank of Australia (NAB) said. “There is very little view that (Japan) will loosen restrictions on buying ETF certificates”, Mr. Catril added.
The number of Covid-19 cases in North Asia has increased rapidly, causing investors to hesitate to make decisions. The Japanese capital Tokyo has a record number of new Covid-19 infections to 822 on December 17, surpassing 800 new cases a day for the first time. This raises concerns that Japan’s medical industry will face great pressure, according to news agency Kyodo News.
In Korea, Yonhap news agency reported that the country of Kim Chi recorded the number of new Covid-19 infections per day exceeding 1,000 for two consecutive days.
On the US stock market, all three major indices last night were “green on the floor”. The S&P 500 and Nasdaq Composite last night hit their historic mid-session, while the Dow Jones industrial average closed at its highest level ever. Specifically, the S&P 500 index edged up 0.6% and closed at 3,722.48 while the tech-oriented Nasdaq Composite index rose 0.8% to 12,764.75. The Dow Jones increased by 148.83 points to 30,303.37 points.
The money market this morning continued to see the greenback weaken. The US dollar index against other major currencies fell to 89,906 points, from 90.4 normally seen in the week. Japanese Yen strengthened and converted JPY 103.26 to “eat” USD, from 103.8 JPY / USD set previously, while Australian dollar also appreciated and exchanged 1 AUD for 0.7613 USD, compared to at the previously set AUD 1 / $ 0.763.
Oil prices on Asian markets this morning cooled down after world oil prices set a 9-month peak yesterday. Futures prices for Brent crude fell 0.35% to $ 51.32 / barrel, while the US crude futures price slid 0.25% to $ 48.24 / barrel.