Asian shares rise to eight-month highs, on track for weekly gains | Reuters - Firstpost
Powered By:
In Association With:
You are here:

Asian shares rise to eight-month highs, on track for weekly gains | Reuters

  Updated: Jul 15, 2016 07:00 IST

#article   #Australia   #Europe   #Gold   #Middle East   #United Kingdom   #United States  

TOKYO Asian shares rose to eight-month highs on Friday, on track for solid weekly gains, as record highs on Wall Street offset the impact on sentiment of an attack in France that lifted the safe-haven yen.

An attacker killed at least 73 people and injured scores when he drove a truck at high speed into a crowd watching Bastille Day fireworks in the French Riviera city of Nice late on Thursday.

"I don't think that will have a big impact on the market today" in Asian trading, said Kaneo Ogino, director at foreign exchange research firm Global-info Co in Tokyo, although the yen did get an early lift from the news.

"Initially, some U.S. short-term guys used it as an excuse to test the downside and sell ahead of the long weekend in Tokyo," Ogino said, referring to Monday's public holiday that will close markets here.

The dollar was slightly lower at 105.34 yen JPY=, having dipped as low as 105.05 earlier in the session after scaling a three-week peak of 105.935 yen overnight. It was still on track to gain more than 4 percent for the week against its Japanese counterpart.

The Bank of England on Thursday surprised many investors by leaving interest rates unchanged instead of cutting to reduce the economic impact of Britain's vote last month to leave the European Union. The pound was up 0.6 percent at $1.3417 GBP=.

The euro was down 0.1 percent at 117.10 yen EURJPY= but was still up over 5 percent for the week.

MSCI's broadest index of Asia-Pacific shares outside Japan .MIAPJ0000PUS was up 0.2 percent in early trade, on track to gain more than 4 percent for the week in which it pushed to levels not seen since November.

On Thursday, both the Dow Jones industrial average .DJI and the S&P 500 .SPX closed at record highs.

Japan's Nikkei .N225 added 0.8 percent, poised for a weekly gain of over 9 percent in a week in which Japanese Prime Minister Shinzo Abe called for a fresh round of fiscal stimulus after last weekend's victory for his ruling coalition.

"The amount of outflows from Japan year to date versus the amount of inflows in the last two weeks, it's been a significant reversal," said Logan Best, vice president of securities trading at INTL FCStone Financial in Orlando.

"We're talking about billions of dollars being put back to work, in the past week. I'm seeing significant buyers every day," he said. "There's definitely some hope rekindled in Abenomics."

Oil prices gave up some of their overnight gains in early trading, after rising 2 percent on Thursday as traders covered short positions after data showing weak U.S. fuel demand. [O/R]

Brent crude futures LCOc1 slipped 0.9 percent to $46.96 a barrel, while U.S. crude CLc1 fell 0.9 percent to $45.28.

(Reporting by Lisa Twaronite; Editing by Sam Holmes)

This story has not been edited by Firstpost staff and is generated by auto-feed.

Comment using Disqus

Show Comments