INGOT Brokers Australia | Asian market report (2017-10-30)

Asian market report (2017-10-30)

Asian markets ended Monday’s session in mixed territories ahead of serveral market moving events such as; U.S President Donald Trump is expected to pick a Federal Reserve Chair, The Bank of Japan Monetary policy meeting, and China raising new worries regarding liquidity.   

Investors worldwide are expected U.S President Donald Trump to announce his pick for Fed Chair very soon, with some expecting the announcement to be as early as Monday. Furthermore, News reports suggest that current Fed Chair Janet Yellen would not be offered a second term and the President was leaning towards Jay Powell, with Analysts see Powell as the safest choice for replacing Janet Yellen.    

In greater China, major markets ended the session in negative territories, with the Shanghai Composite shedding 0.77 percent to trade at 3,390.34 at the close, while the Shenzhen Composite Tumbled by 1.73 percent to end the session at 1,988.48. Moreover, in Hong Kong, the Hang Seng index slipped 0.36 percent to end the session at 28,336.19 at the close.

In Earnings News, Hong Kong’s’ HSBC saw its share rise price end the session 0.91 percent higher after the Bank announced that its third-quarter Pre-Tax income rose by a large margin of 448 percent compared to last year. HSBC’s pre-tax income came in at 4.62 billion dollars, compared to 843 million dollars reported last year.

Over in South Korea, Equities ended the session in green territories, with significant gains in Tech and Oil stocks led shares higher, South Korea’s leading index KOSPI rose by 0.21 percent to settle at 2,501.93 at the close.

 

Japan (Nikkei 225)

Japan’s Nikkei 255 closed nearly unchanged to close 0.01 percent above the flat line at 22,011.67; Japan’s primary traded at constant levels amid cautious trade ahead of the Bank of Japan Monetary policy meeting on Tuesday

In economic news, Retail sales rose by 2.2 percent in September compared to one year ago. However below median expectations of a 2.5 percent rise.

The Bank of Japan began its two-day Monetary policy meeting on Monday, with analyst expecting the bank to keep base rates unchanged and continued with its ultra-accommodative policy. Meanwhile, several analysts said that it would not be a surprise if the bank downwards revises its inflation forecast amid recent downbeat inflation data.

 

Australia (ASX 200)

The Australian benchmark index ASX200 rose on Monday as investors digested the news that the coalition government lost parliamentary majority after the Australian high court disqualified Australia’s deputy prime minister because of his dual citizenship status. Moreover, gains in Energy and Tech sectors lifted shares higher; Australia’s leading benchmark ASX 200 rose by 0.27 to end the session at 5,919.08 at the close.

Major Aussie Oil firms, Woodside Petroleum, Beach Energy, Santos and Origin Energy advance between 1 to 4 percent after Oil prices surged by more than 2 percent on Friday due rumors that OPEC production cut deal would be expanded past its expiration date next March.

 

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