Asian stocks rise as anxiety over banks starts to fade March 29, 2023 Asian stocks rise as concern about banks fades<br /> March 29, 2023 Creation time: 10:12 AM Last updated: 10:12 AM Views: 27 Beijing, March 29 (BNA): Asian stocks rose on Wednesday as concern about the global financial system began to fade after three high-profile bank failures. Tokyo, Hong Kong and Sydney advanced. Shanghai Wall Street followed low. Oil prices rose. Concerns that global banks could crack under the pressure of raising interest rates to quell inflation temporarily drove concern about slowing economic growth. Some calm returned after organizers announced measures to shore up the system, according to the Associated Press (AP). “It’s clear that investors haven’t completely lost their nerve,” ING’s Robert Carnell and Min Ju Kang said in a report. The Shanghai Composite lost less than 0.1% to 3243.06 while Tokyo’s Nikkei 225 rose 0.8% to 27728.70. Hong Kong’s Hang Seng Index jumped 1.9% to 20,165.60 after Chinese e-commerce giant Alibaba Group announced plans to split into six units in a bid to become more flexible and unlock value for investors. It said it would include e-commerce, entertainment and logistics. The Kospi Index in Seoul was unchanged at 2,435.60 while the S&P-ASX 200 in Sydney rose 0.2% to 7,050.30. India’s Sensex opened 0.3% higher, at 57,807.62. New Zealand fell while Southeast Asian markets rose. On Wall Street, the S&P 500 fell 0.2% on Tuesday, to 3,971.27. Most of the stocks in the index rose, but this was offset by significant declines for some banks and modest losses for technology stocks. First Republic shares fell 2.3 percent and Backwest Bancorp 5 percent. Apple and Microsoft refused. The Dow Jones Industrial Average fell 0.1%, to 3,394.25. The Nasdaq Composite lost 0.4%, to 11,716.08. The failure of two US banks and one in Switzerland creates a dilemma for central bankers trying to cool economic activity and bring down inflation that is near multi-decade highs. The Fed and central banks in Europe and Asia usually respond by raising rates again. But the bank failures have shown that institutions are vulnerable after past surges have sent down prices of bonds and other assets on their books. Traders placed their bets on Tuesday that the Fed will raise interest rates at its next meeting in May, although a slight majority still expects it to hold rates steady. Traders are still very much betting that the Fed will have to cut interest rates as soon as this summer to support the economy. Reports on the US economy have been mixed. The job market remains remarkably strong, while smaller corners of the economy show further weakness. Tuesday’s report showed that consumer confidence is increasing against expectations. Another report indicated that US home prices fell in January compared to December, but not by as much as economists expected. In energy markets, US benchmark crude rose 51 cents to $73.71 a barrel in electronic trading on the New York Mercantile Exchange. The contract rose 39 cents on Tuesday to $73.20. Brent crude, the price basis for international oil trade, added 28 cents to $74.82 a barrel in London. It rose 53 cents in the previous session to $78.65. The dollar rose to 131.71 yen from 130.80 yen on Tuesday. The euro fell to $1.0839 from $1.0842. HF Source link Related READ MORE Bahrain Islamic Index closes higher
March 29, 2023 Creation time: 10:12 AM Last updated: 10:12 AM Views: 27 Beijing, March 29 (BNA): Asian stocks rose on Wednesday as concern about the global financial system began to fade after three high-profile bank failures. Tokyo, Hong Kong and Sydney advanced. Shanghai Wall Street followed low. Oil prices rose. Concerns that global banks could crack under the pressure of raising interest rates to quell inflation temporarily drove concern about slowing economic growth. Some calm returned after organizers announced measures to shore up the system, according to the Associated Press (AP). “It’s clear that investors haven’t completely lost their nerve,” ING’s Robert Carnell and Min Ju Kang said in a report. The Shanghai Composite lost less than 0.1% to 3243.06 while Tokyo’s Nikkei 225 rose 0.8% to 27728.70. Hong Kong’s Hang Seng Index jumped 1.9% to 20,165.60 after Chinese e-commerce giant Alibaba Group announced plans to split into six units in a bid to become more flexible and unlock value for investors. It said it would include e-commerce, entertainment and logistics. The Kospi Index in Seoul was unchanged at 2,435.60 while the S&P-ASX 200 in Sydney rose 0.2% to 7,050.30. India’s Sensex opened 0.3% higher, at 57,807.62. New Zealand fell while Southeast Asian markets rose. On Wall Street, the S&P 500 fell 0.2% on Tuesday, to 3,971.27. Most of the stocks in the index rose, but this was offset by significant declines for some banks and modest losses for technology stocks. First Republic shares fell 2.3 percent and Backwest Bancorp 5 percent. Apple and Microsoft refused. The Dow Jones Industrial Average fell 0.1%, to 3,394.25. The Nasdaq Composite lost 0.4%, to 11,716.08. The failure of two US banks and one in Switzerland creates a dilemma for central bankers trying to cool economic activity and bring down inflation that is near multi-decade highs. The Fed and central banks in Europe and Asia usually respond by raising rates again. But the bank failures have shown that institutions are vulnerable after past surges have sent down prices of bonds and other assets on their books. Traders placed their bets on Tuesday that the Fed will raise interest rates at its next meeting in May, although a slight majority still expects it to hold rates steady. Traders are still very much betting that the Fed will have to cut interest rates as soon as this summer to support the economy. Reports on the US economy have been mixed. The job market remains remarkably strong, while smaller corners of the economy show further weakness. Tuesday’s report showed that consumer confidence is increasing against expectations. Another report indicated that US home prices fell in January compared to December, but not by as much as economists expected. In energy markets, US benchmark crude rose 51 cents to $73.71 a barrel in electronic trading on the New York Mercantile Exchange. The contract rose 39 cents on Tuesday to $73.20. Brent crude, the price basis for international oil trade, added 28 cents to $74.82 a barrel in London. It rose 53 cents in the previous session to $78.65. The dollar rose to 131.71 yen from 130.80 yen on Tuesday. The euro fell to $1.0839 from $1.0842. HF
