Asian Markets Mostly Up After Wall St Record

Asian markets rose mostly on Thursday, traders monitored the progress of US President Joe Biden’s huge infrastructure program, moved by the minutes of the Federal Reserve Board, and set long-term interest rates on record. We have strengthened our intention to keep it at a low level.

A significant rise was seen after yet another record for the S & P 500 on Wall Street, supported by the general optimistic mood that the global economy is heading for a strong recovery as the vaccine is deployed.

Biden came out Wednesday, advancing $ 2.2 trillion in road and bridge plans, warning that it would be a moment to ensure that the United States could “lead the world as it has done historically.” ..

The prospect of another huge spending surge coming shortly after his $ 1.9 trillion stimulus has passed added to expectations that the country is heading for blockbuster growth.

However, analysts said the president faced a fight to reach a plan agreement, demanded a corporate tax hike to pay for it, and even some Democrats opposed a significant rise. ..

His party only needs a simple majority to pass the Senate, but “this latest fiscal proposal can stand up without being softened and / or without Republican support for the proposed tax increase. There is no guarantee that it will be possible, “National said.

Investors are also enthusiastic about the trend as Treasury Secretary Janet Yellen demands a global corporate tax from the wealthy companies that succeeded during the pandemic to finance recovery efforts.

The idea has been backed by the International Monetary Fund, and the G20’s finance minister said it would continue to work at the lowest rates as it would be available for trading by July to undermine the use of tax havens.

For now, traders are pleased to attend the rally as the coronavirus vaccination program progresses, allowing the economy to gradually resume in some areas, even if it is a little slower than in others. ..

Axis strategist Stephen Ines said, “Investors appear to be happy and willing to bet on the recovery in the coming months in the light of strong data in recent weeks, so short-term momentum continues. It seems to work in favor of the bulls. “

“In addition, equity volatility has remained low near the lowest levels since the pandemic began, helping to take risks.”

Early in trading on Thursday, the Asian market rose sharply.

Hong Kong, Sydney and Wellington all accumulated more than 1%, with Shanghai, Seoul, Mumbai, Taipei, Jakarta and Bangkok also increasing, while Tokyo, Singapore and Manila decreased.

London, Paris and Frankfurt were all high in the morning.

Joe Biden urged lawmakers to push forward with his vast infrastructure proposal, which could face congressional hurdles.
Getty Images North America / Drew Angerer

The minutes of the Fed’s March meeting, which reiterated policymakers’ desire to see inflation consistently heat up and unemployment curtailed before turning off the liquidity tap, had little reaction. There was not.

“Participants said it could take some time before substantial further progress was made towards the Commission’s goals for maximum employment and price stability,” the minutes said.

Michael Ferroli, Chief US Economist at JPMorgan Chase and Company, said:

“The minutes of the March FOMC meeting helped him because he made little mention of the future outlook for the Fed’s asset purchase program.”

Tokyo-Nikkei 225: 29,708.98, down 0.1% (closing price)

Hong Kong-Hang Seng Index: up 1.2% at 29,008.07 (closing price)

Shanghai Composite: 3,482.55, up 0.1% (closing price)

London-FTSE 100: up 0.4% at 6,914.13

Euro / dollar: rising from $ 1.1865 to $ 1.1882 at 2110 GMT

Pounds / $: UP from $ 1.3735 to $ 1.3763

Euro / Pound: Fall from 86.35 pence to 86.33 pence

Dollar / yen: down from 109.84 yen to 109.52 yen

West Texas Intermediate: $ 59.42 / barrel down 0.6%

Brent North Sea Crude: $ 62.94 / barrel down 0.4%

New York-Dow: 33,446.26, up 0.1% (closing price)

-Bloomberg News contributed to this story-

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