Forex Marketz Daily Forex News – Fully Markets Update
Asian equity markets were moving higher by the afternoon Asian trade session on Monday.
Traders are reacting to positive trade developments and elections in Hong Kong, which has been embroiled in protests for months.
In Japan, the Nikkei 225 was up 0.75 percent by lunchtime, Hong Kong time. Shares of blue chip companies like Fast Retailing and Softbank Group were all seeing gains on the day.
In South Korea, the Kospi composite index was up over one percent. Shares of Samsung electronics gained one percent on the day.
Elsewhere in the Asian and Pacific Rim, the Australian S&P ASX 200 was up 0.4 percent as most sub-sectors were in the green.
The Hang Seng index, in Hong Kong, jumped 1.75 percent by lunchtime.
On the mainland in China, equities were mixed. The Shanghai composite added 0.35 percent. The smaller Shenzhen component lost over 0.8 percent and the Shenzhen component fell almost half a percent.
Asian Trade Sentiment improves on Trade Progress and Local Geopolitical Matters
In Hong Kong, election results are showing that the pro-democracy won the local legislature by a landslide. There was record setting voter turnout.
Traders were also following trade talks. There were some positive trade commentary between the United States and China over the weekend.
China announced plans to improve intellectual property rights. This has been a key sticking point between the two largest economies towards a preliminary trade agreement.
On Friday, China’s President Xi Jinping said he wants to reach a trade accord with the United States. President Donald Trump, also spoke about trade. He said that that progress was moving along nicely.
On Saturday, U.S. national security adviser Robert O’Brien said that a trade deal could be signed before the end of the year.
However, rising tensions in Hong Kong capped sentiment. The United States openly supports the protestors in Hong Kong. This is causing friction with Beijing which could impede a trade deal.
