Asian Emerging Markets Up But Trump Fears Remain

HONG KONG, , (APP - UrduPoint / Pakistan Point News - 15th Nov, 2016 ) - Most Asian emerging markets rose Tuesday after the previous day's heavy losses while the Dollar dipped against most peers but traders remained on edge over Donald Trump's plans for global trade agreements.

While shares in developed economies have rallied and safe-haven sovereign debt prices have fallen, many trading floors in Asia have taken a hit recently over worries Trump will throw up tariffs to the world's biggest economy.

His plans for huge spending and tax cuts at home have also fanned expectations the Federal Reserve will hike interest rates more sharply than initially planned, sending the dollar soaring and fuelling an exodus from emerging markets.

However, after a two-day retreat on most regional bourses, there was a tentative recovery with Manila up 0.

3 percent, Jakarta 0.5 percent higher and Bangkok added 0.2 percent. There were also gains of 0.7 percent in Singapore and a 0.5 percent rise in Wellington while Hong Kong gained 0.5 percent.

However, Tokyo was marginally lower, having surged more than eight percent to a nine-month high since Thursday on the back of a rally in the dollar against the Yen. Shanghai was off 0.1 percent, while Sydney and Seoul each shed 0.4 percent.

In early European trade London rose 0.5 percent, Paris put on 0.4 percent and Frankfurt added 0.3 percent. "Risks are elevated, and we are expecting further increases in volatility as markets attempt to second-guess the policies that might eventually come out from the US," Michael McCarthy, chief market strategist at CMC Markets in Sydney, told Bloomberg news.