Forex Marketz Daily Forex News – Fully Markets Update
The Asian and Pacific Rim financial and equity markets were mixed by the afternoon during today’s trade session. Traders are watching mounting tensions between China and the United States over Hong Kong and the Covid-19 global pandemic.
Asian traders are also reacting to economies, around the world, that are starting to reopen. This is placing sentiment somewhere between cheerful and pessimistic.
In Japan, the benchmark Nikkei 225 was up 0.36 percent by the end of the morning. Shares of robotics giant, Fanuc, tacked on 3.4 percent. The broader Topix index, in Tokyo, was up about half a percent.
In South Korea, the benchmark Kospi composite index added 0.38 percent and shares in Hong Kong slipped lower. The Hang Seng index is down a quarter of a percent.
Elsewhere in the Asian and Pacific Rim, the Australian ASX 200 was trading around the flat line as traders struggled for direction.
On the mainland, in China, the Shanghai composite lost 0.1 percent and the Shenzhen composite fell a fraction of a percent.
Asian Traders grow concerned over Tensions between the US and China
Traders are watching rising geopolitical tensions between the United States and China over Hong Kong.
These tensions could endanger the trade agreement negotiations as both countries look for a Phase 2 agreement.
The U.S. President, Donald Trump, has said that his administration will announce, sometime before the end of the week, their response to China’s planned security bill over Hong Kong.
The White House is considering sanctions against Chinese officials as both nations continue to clash over trade policy, advanced technology and China’s suggested role in the Covid-19 pandemic.
These issues could turn risk sentiment off favoring safe haven assets and bonds over equities and sentiment linked currencies.
Traders Watch Economies as they re-Open
Global economies are starting to reopen their economies, slowly, after being crippled by Covid-19 restrictions.
The European Commission, later today will release their financial rescue stimulus package. This fiscal plan should help businesses and households impacted by the devastating coronavirus lockdown.
