Arab Today, arab today asia markets rally as fed rate rise seen delayed
Last Updated : GMT 00:27:59
Arab Today, arab today
Arab Today, arab today

Asia markets rally as Fed rate rise seen delayed

Arab Today, arab today

Arab Today, arab today Asia markets rally as Fed rate rise seen delayed

Customers browse for goods
Hong Kong - AFP

An increasing expectation the Federal Reserve will keep interest rates at record lows fed further gains in Asia's stock markets on Friday.

Investors were set to end a third straight week on a high as Tuesday and Wednesday's China-fuelled retreat was overshadowed by hopes the cost of US borrowing will stay near zero percent into the new year.

Speculation that Beijing will soon introduce more measures to stimulate the world's number two economy and key driver of world growth also provided an incentive to buy ahead of the release of growth data next week.

Global markets have enjoyed a broadly strong month so far after suffering their worst quarter in four years during July-September, when trillions of dollars were wiped of valuations.

The main story behind the latest rally has been the likelihood the Fed will have to put off a rate hike until the new year owing to a slowdown in world economic growth.

After saying in early 2015 that a rise was expected as the US economy picked up pace, bank policymakers have gradually lowered their expectations, with turmoil unleashed by China's yuan depreciation in August playing a major role.

A recent run of weak data out of Washington -- including below par jobs growth and retail sales -- have also muddied the Fed's waters.

"Investors are reacting to the increasing likelihood that the Fed rate hike, which had been expected just a month ago in September, now likely won't happen during the course of this year," said David Levy, portfolio manager at Kenjol Capital Management.

However, the dollar, which has tumbled this month against most currencies, picked up Friday after New York Federal Reserve President William Dudley said a rate increase was still possible this year if economic data stayed "in line" with forecasts.

- China growth woes -

Indonesia's rupiah dipped 0.50 percent in early trade Friday, while the Malaysian ringgit lost one percent.

The rupiah is up about eight percent this month, while the ringgit has gained more than five percent. The Korean won was 0.39 percent lower, the Thai baht eased 0.22 percent and Singapore's dollar was down 0.13percent.

The also greenback rose to 119.18 yen from 118.88 yen in New York as pick-up in confidence on trading floors saw dealers move out of safer assets.

The euro was at $1.1369 compared with $1.1376 in US trade and well down from $1.1480 earlier Thursday in Asia with after a European Central Bank board member said eurozone inflation was undershooting its target.

The comments led the speculation the ECB will widen its already huge stimulus programme.

On share markets, expectations the Bank of Japan will soon increase its own monetary easing scheme helped the Nikkei to close the morning session 1.36 percent higher.

Hong Kong added 0.79 percent and Sydney gained 0.89 percent.

Shanghai was 1.20 percent higher, with dealers betting on China's leaders announcing a new round of measures to shore up the stuttering economy.

While weak readings this week on trade and inflation initially sent stocks lower, investors now see the possibility of another interest rate cut -- after five since November -- or other monetary loosening.

This week the government announced plans to reform the country's sprawling state-owned enterprises in the telecoms and utilities sectors as it looks to improve efficiency.

"The central bank has loosened its tap on liquidity and the SOE reform will continue through the year," said Wei Wei, an analyst at Huaxi Securities Co. in Shanghai. "It’s a good time window for stocks now and the rebound will probably carry on."

However, analysts are pessimistic about the release of July-September economic growth figures Monday, with a survey.

A survey of 19 economists by AFP found a median forecast of expansion of 6.8 percent, which would be the worst since early 2009 at the height of the global financial crisis.

arabstoday
arabstoday

GMT 16:08 2017 Saturday ,14 October

US stocks rise on strong retail sales; Europe mixed

GMT 04:42 2017 Saturday ,14 October

Egyptian Bourse gains EGP 2.6 bn

GMT 04:32 2017 Saturday ,14 October

US stocks rise on strong retail sales; Europe mixed

GMT 20:52 2017 Thursday ,12 October

Egyptian Bourse loses EGP 3 bn

GMT 13:12 2017 Thursday ,12 October

Bahrain Bourse daily performance

GMT 11:06 2017 Thursday ,12 October

Wall Street ends at fresh records; Spanish stocks gain

GMT 21:13 2017 Wednesday ,11 October

Bahrain Bourse daily trading report (update)
Arab Today, arab today
Arab Today, arab today

Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today asia markets rally as fed rate rise seen delayed Arab Today, arab today asia markets rally as fed rate rise seen delayed

 



Name *

E-mail *

Comment Title*

Comment *

: Characters Left

Mandatory *

Terms of use

Publishing Terms: Not to offend the author, or to persons or sanctities or attacking religions or divine self. And stay away from sectarian and racial incitement and insults.

I agree with the Terms of Use

Security Code*

Arab Today, arab today asia markets rally as fed rate rise seen delayed Arab Today, arab today asia markets rally as fed rate rise seen delayed

 



Arab Today, arab today
Arab Today, arab today Youssra depended on colored foam

GMT 16:53 2017 Tuesday ,05 September

Youssra depended on colored foam
Arab Today, arab today Airbus CEO says won't cling to job

GMT 06:52 2017 Monday ,16 October

Airbus CEO says won't cling to job
Arab Today, arab today Etiquette expert underlines importance of gifts

GMT 17:52 2017 Sunday ,03 September

Etiquette expert underlines importance of gifts
Arab Today, arab today 'Final phase' of battle for Raqa

GMT 03:47 2017 Monday ,16 October

'Final phase' of battle for Raqa
Arab Today, arab today Iran's Facebook shuts down

GMT 23:50 2017 Monday ,16 October

Iran's Facebook shuts down
Arab Today, arab today
Arab Today, arab today
Arab Today, arab today Sidem reveals plan to improve education

GMT 15:52 2017 Friday ,06 October

Sidem reveals plan to improve education
Arab Today, arab today British actress becomes fifth woman

GMT 18:15 2017 Monday ,16 October

British actress becomes fifth woman
Arab Today, arab today India to close colonial-era military farms

GMT 18:49 2017 Monday ,16 October

India to close colonial-era military farms
Arab Today, arab today The history of solar eclipses

GMT 05:16 2017 Sunday ,20 August

The history of solar eclipses
Arab Today, arab today Britain's Vauxhall to cut 400 jobs

GMT 10:53 2017 Sunday ,15 October

Britain's Vauxhall to cut 400 jobs
Arab Today, arab today Norway seeks 'Tesla tax' on electric cars

GMT 08:17 2017 Friday ,13 October

Norway seeks 'Tesla tax' on electric cars
Arab Today, arab today Safaa Sultan happy for “Love School”

GMT 10:55 2017 Thursday ,12 October

Safaa Sultan happy for “Love School”
Arab Today, arab today Conservation cutbacks put Brazil's

GMT 12:02 2017 Saturday ,14 October

Conservation cutbacks put Brazil's

GMT 10:19 2017 Wednesday ,11 October

Bosy reveals behind her participation in festival

GMT 10:37 2017 Thursday ,12 October

Cara Delevingne accuses Weinstein

GMT 16:53 2017 Saturday ,02 September

Mai importance of gifts during Eid Al-Adha

GMT 10:20 2017 Thursday ,12 October

Chad extends key conservation area

GMT 10:46 2017 Saturday ,05 August

Nanis reveals simple ideas for home renovation

GMT 12:25 2017 Saturday ,14 October

Squeeze on UK health gives advanced

GMT 07:16 2017 Friday ,13 October

Lufthansa to swallow lion's share

GMT 17:12 2017 Monday ,07 August

Al-Shawaifi reveals secrets of total solar eclipse

GMT 03:59 2017 Sunday ,15 October

US mobile carriers Sprint, T-Mobile to merge

GMT 11:37 2017 Saturday ,12 August

Fashion designer reveals her new collection
Arab Today, arab today
Arab Today, arab today
 
 Arab Today Facebook,arab today facebook  Arab Today Twitter,arab today twitter Arab Today Rss,arab today rss  Arab Today Youtube,arab today youtube  Arab Today Youtube,arab today youtube
arabstoday arabstoday arabstoday arabstoday
arabstoday arabstoday arabstoday
arabstoday
بناية النخيل - رأس النبع _ خلف السفارة الفرنسية _بيروت - لبنان
arabstoday, Arabstoday, Arabstoday