The Nikkei 225 Stock Average in Japan reached a 33-year high as investors grew optimistic about the Federal Reserve's likely end to its tightening cycle. The Nikkei 225 eclipsed June's intraday high, and the yen's depreciation added to the index's year-to-date gain of more than 20%.Meanwhile, shares in Hong Kong and mainland China rose when …
The Nikkei 225 Stock Average in Japan reached a 33-year high as investors grew optimistic about the Federal Reserve’s likely end to its tightening cycle. The Nikkei 225 eclipsed June’s intraday high, and the yen’s depreciation added to the index’s year-to-date gain of more than 20%.
Meanwhile, shares in Hong Kong and mainland China rose when the market opened. Following the S&P 500’s break above 4,000 on Friday, which marked the index’s third straight week of gains, US futures were basically unchanged.
On Friday, Federal Reserve Vice Chair for Supervision Michael Barr said that the Fed’s tightening effort is likely nearing completion. However, San Francisco Fed President Mary Daly noted that officials are unsure if inflation would reach their 2% target.
Treasuries fell slightly in early Monday trade before of a 20-year bond auction, providing as a barometer of investor confidence in the end of the 2023 selloff. Bonds in Australia and New Zealand fell as well.
The offshore yuan rose as the People’s Bank of China lifted the currency’s daily reference rate to the highest level since August. On Monday, the nation’s commercial lenders decided to leave their benchmark lending rates constant, echoing the central bank’s decision earlier this month to keep policy rates unchanged in support of stimulus spending.
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