|Day's range||24,253.56 - 24,810.22|
|52-week range||21,139.26 - 29,174.92|
Gains in Asia were likely limited by light-profit-taking ahead of Friday’s U.S. nonfarm payrolls data.
Eurozone bonds rallied and the euro surged on Thursday after the European Central Bank announced a bigger-than-expected boost to its stimulus package to tackle the economic fallout from the coronavirus crisis. The yield on 10-year Italian and Greek debt dropped sharply after the ECB said it would expand its bond-buying programme by €600bn and extend it until 2021. The actions “show that the ECB is in whatever-it-takes mode”, said Joost van Leenders, investment strategist at Kempen Capital Management.
Australian retail sales suffered a historic plunge in April while the trade surplus narrowed as the coronavirus battered the economy.
World stock markets have rallied nearly 36% from March lows on hopes for a swift global economic recovery.
Hong Kong’s battered stock market enjoyed its best day in more than two months as investors shrugged off Donald Trump’s announcement from Friday, saying they had feared harsher measures from the US president. The Hang Seng index closed up 3.4 per cent on Monday despite Mr Trump saying Hong Kong would lose its special trade status from which it has benefited since its handover from the UK to China in 1997. The US president was responding to Beijing’s announcement that it planned to impose national security legislation on the city, which investors fear would in effect end its semi-autonomous status under the “one country, two systems” model that underpinned its return to China.
Investors and traders were cautiously awaiting the market reaction to the violent protests in the US, as clashes between protesters and police spread out across American cities following the killing of George Floyd at the hands of Minneapolis police
Markets kicked off the new month in mixed fashion, as protests in major US cities over the weekend threaten the nascent post-pandemic recovery in the world’s largest economy.
Data released over the weekend by China’s National Bureau of Statistics showed factory activity in the country expanding in May.
Shares were mostly higher in Asia on Tuesday, lifted by moves to reopen many regional economies from shutdowns aimed at containing the coronavirus pandemic. Benchmarks rose in Tokyo, Hong Kong and Seoul but fell in Shanghai and Sydney. The gains also tracked a modest advance on Wall Street overnight.
For four decades Hong Kong has thrived as a perfect middle ground between China and the US. Independent courts and free information flows made the city a base for everyone from US investment bankers advising Chinese state companies to supply chain managers dealing with low-cost factories just over the border in Guangdong province. Since Beijing’s economic reforms began in 1978, Hong Kong has played a unique role — a place where western businesses could dip their toes in the new Chinese economy and where China’s Leninist system could engage with the modern, globalised economy.
Stocks closed out a solid week on Wall Street Friday with a late-afternoon rebound after worries that President Donald Trump would reignite a costly trade war with China faded. The benchmark S&P 500 index rose 0.5%, recovering from a 1% slide, after Trump outlined several actions in response to a move by China to exert more control over Hong Kong but steered clear of upending a trade pact struck with Beijing earlier this year.
China has formally approved a plan to impose national security laws on Hong Kong, despite a US declaration that the move would signal that the city was no longer autonomous from Beijing. Mike Pompeo, US secretary of state, on Wednesday issued the Trump administration’s most serious response yet to Beijing’s plan to impose the laws. China says the laws are intended to target “splittist, subversion of state power, terrorism or interference by foreign countries or outside influences” in Hong Kong.
Hong Kong’s Hang Seng index (HSI) is struggling to partake in the global equity rally on Thursday, considering the myriad of uncertainties that are now engulfing the city.
Shares fell Friday in Asia after Wall Street’s rally petered out amid worries about flaring U.S.-China tensions. Benchmarks declined in Hong Kong, Tokyo and Sydney but rose in Shanghai. Investors are nervously awaiting a news conference about China by President Donald Trump later in the day.
Wall Street stocks were edging towards a fourth straight daily gain on Thursday, with the technology sector shrugging off the Trump administration’s threat of a social media clampdown as growth stocks returned to favour. Twitter, Facebook and Google owner Alphabet all moved higher even after the White House said President Donald Trump would on Thursday sign an executive order tightening restrictions on social networks. The year-to-date’s top-performing stocks had been laggards in the rally of recent days as investors switched into those more exposed to an economic recovery, helped by optimism about an easing of lockdown restrictions and a proposed EU recovery fund.
Mid-week market drivers with Dukascopy TV. We’ve got COVID-19 news and numbers, U.S – China tension, and optimism towards the economic.
Hong Kong faces its biggest threat yet to its status as Asia’s financial hub. Hong Kong’s exchange operator, unfazed, plans to expand its derivatives business with MSCI. HKEX will start with the launch of 37 futures and options contracts — mostly based on the most important Asian indices but including some emerging markets.
U.S. President Trump said that he was preparing to take action against China this week over its effort to impose national security laws on Hong Kong.
US stocks staged a late rally on Wednesday as hopes of a faster economic recovery overcame concerns over the relationship between the US and China. Wall Street’s S&P 500 finished the day 1.5 per cent higher, closing above 3,000 for the first time in 12 weeks. Other global equity benchmarks also rose, with London’s FTSE 100 gaining 1.3 per cent and the benchmark Euro Stoxx 600 closing 0.2 per cent higher.
Asian stocks were mixed after an upbeat open on Thursday, as investors pinned their hopes on an economic rebound from the coronavirus crisis. Shares rose in Tokyo, Sydney and Shanghai but dropped in Hong Kong, where tensions are flaring over Beijing’s effort to exert more control over the former British colony. The most recent developments are another thorn in a relationship already testy over China's handling of the early stages of the coronavirus outbreaks and over longstanding trade and other antagonisms.
Hong Kong's exchange is launching derivatives with index provider MSCI in a deal that hurts rival Singapore and boosts its global appeal amid U.S. warnings that Chinese pressure on the city’s autonomy threatens its future as a financial hub. The announcement comes days after China's National People's Congress said it would impose new national security legislation on Hong Kong, which U.S. government officials have warned could bring into question the city's special economic status under U.S. law. On Tuesday, White House spokeswoman Kayleigh McEnany said president Donald Trump had told her "it's hard to see how Hong Kong can remain a financial hub if China takes over."
Hopes of a quick economic recovery gave a lift to global stocks on Tuesday, taking them to their highest levels since the coronavirus pandemic first took hold in early March. In the US the S&P 500 moved above the 3,000 point level for the first time in nearly three months, though the index pared gains late in the session on renewed concerns about new US tariffs against China. Investors were switching into riskier assets, with travel and leisure stocks leading the gains in response to moves by Germany and Spain to lift their travel restrictions.
Australian shares jumped to their highest value in almost three months. Japan’s Nikkei surged on fresh stimulus speculation.
China has sought to reassure international investors that a proposed national security law that critics say gravely threatens Hong Kong’s autonomy would instead improve the business environment in the Asian financial hub. Speaking a day after pro-democracy protesters returned to the streets of Hong Kong following a hiatus during the coronavirus epidemic, Xie Feng, China’s foreign ministry commissioner in Hong Kong, said the proposed legal changes would restore calm following a year of unrest. “The international community can rest assured about the legislation for Hong Kong,” said Mr Xie.
China has sought to reassure international investors that a proposed national security law that critics say gravely threatens Hong Kong’s autonomy would instead improve the business environment in the Asian financial hub. Speaking a day after pro-democracy protesters returned to the streets of Hong Kong following a hiatus during the coronavirus outbreak, Xie Feng, China’s foreign ministry commissioner in Hong Kong, said the proposed legal changes would restore calm following a year of unrest. “The legislation will alleviate the great concern among the local and foreign business communities about the violent and terrorist forces attempting to mess up Hong Kong,” said Mr Xie.