Stocks, Bonds Rally, while USD Declines

March 30, 2016

Asian stocks surged on Wednesday, as markets lowered expectations regarding the pace of interest rate hikes this 2016, boosting bonds and pushing the US dollar lower.

MSCI's broadest index of Asia-Pacific shares outside Japan recovered from four losing session to climb  by 1.4 percent. Meanwhile, Shanghai edged up by 1.6 percent and South Korea reached its highest for this year so far.

Spread betters anticipated opening gains of about 0.5% to 0.6% for the FTSE 100, DAX, and CAC.

The move came after the Federal Reserve Chair Janet Yellen highlighted global risks to growth and inflation, and made dovish remarks regarding the tightening policy.

Debt markets also surged significantly, in response with yields on 10-year US Treasury Note plunging 7 basis points to 1-month low of 1.80 percent.

The S&P 500 and Dow Jones 30 ended yesterday’s session at their highs for 2016, with Technology stocks leading gains. The S&P 500 spiked by 0.88 percent, while the Dow gained 0.56 percent and the NASDAQ soared 1.67 percent.

Meanwhile, the greenback slumped across the board. The US dollar index was down at 95.093, reflecting its largest one-day decline in almost 2 weeks.

The plunge in the US currency helped the prices of crude oil to recover a bit, as did a forecast that US inventories may have grown by less than expected.

Publication source
Trade12 information  Trade12 reviews

September 29, 2016
OPEC blinks
Yesterday decision by OPEC to restrict oil supply has pushed the price of crude higher by some 5%. The move took the markets by surprise, with the divisions between Iran (who are still enjoying their return to global markets)...
September 29, 2016
Gold weighed down by US data
The gold price is down for a second straight day today as investors await a raft of data from the US this week which may decide the question of an interest rate hike...
September 29, 2016
Informal OPEC meeting seizes limelight
Global stocks were chaotic on Tuesday with most equities vibrating between losses and gains as the mixture of anticipation ahead of OPEC - informal meeting and ongoing discussions over the results of the first presidential debate created explosive levels of volatility...

FxPro Rating
FXTM Rating
Vantage FX Rating
Tickmill Rating
XM Rating
Grand Capital Rating

Beeoptions Rating
24option Rating
OptionBit Rating
365BinaryOption Rating
EZTrader Rating
Anyoption Rating