Most Asian Markets Rise Ahead Of Powell Testimony, US Jobs Data
Mohammad Ali (@ChaudhryMAli88) Published March 07, 2023 | 07:03 PM
Asian markets mostly rose Tuesday as traders geared up for this week's release of key US jobs data and Federal Reserve chief Jerome Powell's testimony to lawmakers
Hong Kong, (UrduPoint / Pakistan Point News - 7th Mar, 2023 ):Asian markets mostly rose Tuesday as traders geared up for this week's release of key US jobs data and Federal Reserve chief Jerome Powell's testimony to lawmakers.
His remarks will be closely followed for an idea about the central bank's plans as it ramps up interest rates to quell inflation.
A recent run of figures has suggested the world's top economy continues to run hot and inflation is not coming down as quickly as hoped, putting pressure on the Fed to keep hiking borrowing costs.
Several officials have lined up to warn that rates would have to go higher and be held there for some time.
The prospect of more tightening has dealt a blow to investors who had grown optimistic the Fed would be able to cut rates by the end of the year.
OANDA's Edward Moya said traders were looking at two or three more quarter-point rises before the Fed holds fire.
He added: "This week will likely deliver a make-or-break moment for risk appetite as we will hear Fed Chair Powell's testimony to Congress and find out if the hot January jobs report was an aberration.
"Stocks probably won't be able to have a meaningful rally until we hear from... Powell." Powell is due to speak to lawmakers on Tuesday and Wednesday, while the closely watched non-farm payrolls report for February is set to be released Friday.
That comes after January's reading showed more than half a million new jobs were created, far more than expected.
"The key focus will be on how Powell sees the US labour market, and whether the (policy board) think that economic conditions have improved or deteriorated since the last Fed meeting," said Michael Hewson at CMC Markets.
"Markets will also be paying attention to whether Powell continues to peddle the same narrative of disinflation, which was a hallmark of his last press conference.
If he acknowledges that inflation could be much stickier than the Fed thought over a month ago, that could prompt a pullback in US equity markets." Tokyo, Sydney, Singapore, Seoul, Mumbai, Bangkok, Taipei, Wellington and Manila rose.
Hong Kong and Shanghai erased earlier gains to sit in negative territory in the afternoon as data showed Chinese imports and exports fell in January and February.
The gains came after a tepid lead from Wall Street and a soft performance Monday in Asia after China set a lower-than-expected target for economic growth this year.
The news dented hopes for fresh government stimulus, though observers said it could benefit the global economy as a powerful Chinese recovery would likely further fan inflation.
"China reopening trades have severely underperformed, with Asian equities being some of the worst-performing indices this year," said SPI Asset Management's Stephen Innes.
"It is unclear if this merely reflects a positioning unwind or a market downgrade of China's reopening prospects." - Key figures around 0700 GMT - Tokyo - Nikkei 225: UP 0.3 percent at 28,309.16 (close) Hong Kong - Hang Seng Index: DOWN 0.7 percent at 20,468.30 Shanghai - Composite: DOWN 1.1 percent at 3,285.10 (close) Euro/dollar: DOWN at $1.0679 from $1.0684 on Monday Pound/dollar: UP at $1.2035 from $1.2023 Euro/pound: DOWN at 88.72 pence from 88.84 pence Dollar/yen: DOWN at 135.91 yen from 135.95 yen West Texas Intermediate: UP 0.1 percent at $80.53 per barrel Brent North Sea crude: UP 0.1 percent at $86.27 per barrelNew York - Dow: UP 0.1 percent at 33,431.44 (close)London - FTSE 100: DOWN 0.2 percent at 7,929.79 (close)
Related Topics
Recent Stories
Mired in crisis, Boeing reports another loss
Session Awarding Ceremony 2024 held at Cadet College Muzaffarabad
Austrian ski great Hirscher to make comeback under Dutch flag
Pakistan, Japan agrees to convene 'Economic Policy Dialogue'
FM Dar conveys deepest sympathy on torrential rains devastation in UAE
Spain PM Sanchez says weighing resignation after wife's graft probe
Tennis: ATP/WTA Madrid Open results - 1st update
Long-lost Klimt portrait auctioned off for 30 mn euros
Osaka seals first win on clay since 2022 in Madrid
Earthquake jolts Karachi
Sindh minister orders operation after attack on police in Ghotki
TikTok to fight US ban law in courts
More Stories From Business
-
Meta profits soar but costs of AI cause worry
29 minutes ago -
Mired in crisis, Boeing reports another loss
9 hours ago -
Pakistan, Japan agrees to convene 'Economic Policy Dialogue'
9 hours ago -
British-Pakistani firm unveils $35 million luxury apartments for overseas Pakistanis in Islamabad
9 hours ago -
European stocks lose momentum after global rally
10 hours ago -
New pulses varieties imperative to cater domestic food requirements: Dr Khalid Hasan
11 hours ago
-
CEO KP-EZDMC meets CRBC officials
11 hours ago -
Pakistan among nine poor countries that produces 90 percent cigarettes for world
11 hours ago -
Chief Minister Gilgit Baltistan Haji Gulbar Khan calls on Minister for Privatisation
12 hours ago -
Germany nudges up growth forecast, ailing economy at 'turning point'
12 hours ago -
Revised UAF budget recommended
12 hours ago -
IDEA, TEVTA organizes Job Fair for youth
12 hours ago