Friday, November 22, 2024

Asian Shares in Tight Range After US Equities Gain: Markets Wrap

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(Bloomberg) — Asian equities traded in narrow ranges after US stocks rose for a fifth session. Bloomberg’s dollar index held near a one-year high as traders bet the currency will benefit from President-elect Donald Trump’s agenda.

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Benchmark share indexes edged higher in Japan, while ticking lower in Australia and South Korea. Futures in Hong Kong pointed down amid disappointment over Chinese stimulus. US stock futures were little changed following a decline in technology shares on Monday that offset gains in other parts of the market.

Investors in Asia are still digesting Beijing’s latest stimulus package, which relieved some of the debt burden on local governments but lacked the sweeping fiscal support many investors had hoped for. Chinese data published Monday showed that credit expansion slowed more than economists forecast last month.

Bitcoin’s record-breaking rally took the digital asset past $89,000 and lifted the overall value of the crypto market above its pandemic-era peak as traders bet on a boom under President-elect Donald Trump.

“The central theme stemming through markets has again been expressing Trump 2.0, with this evolving thematic working concurrently with the sell China vibe that resonates, with further fallout from the lack of demand-driven policies detailed at Friday’s China’s NPC meeting,” Chris Weston, head of research at Pepperstone Group Ltd. in Melbourne, wrote in a note.

The S&P 500 rose 0.1% on Monday, hovering near the 6,000 mark and notching its 51st record this year. The Dow Jones Industrial Average gained 0.7%.

The next major item on the agenda looks to be US inflation figures due Wednesday. The core consumer price index, which excludes food and energy, likely rose at the same pace on both a monthly and annual basis compared with September’s readings.

Treasury 10-year notes dropped at the open after being closed worldwide on Monday for a US holiday. The yield climbed three basis points to 4.33%. The Bloomberg Dollar Spot Index was little changed after jumping 0.5% Monday. Oil ticked up following its biggest decline in two weeks.

Japanese Prime Minister Shigeru Ishiba on Monday pledged more than $65 billion of support for the nation’s semiconductor and artificial intelligence sector over the next decade. He was speaking at a press briefing after winning a vote in parliament to stay on as premier.

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