Most Asian Stocks Rise; Dollar, Treasuries Steady: Markets Wrap
Bloomberg.com — Most Asian equities climbed on Monday as traders held out hopes about developments in the trade war and ahead of a meeting of central bankers later in the week that may throw up clues on the outlook for markets.
While Japan’s shares fell, stocks rose in Hong Kong and Chinese equities were poised to halt five days of declines amid thin volumes in most of Asia. European stock-index futures crept higher. The dollar steadied and the 10-year Treasury yield was little changed. The offshore yuan was stable after signs China may be propping up the currency just as it prepares to restart trade negotiations with the U.S., while the yuan traded onshore strengthened.
Bond traders are betting recent market turmoil won’t throw the Federal Reserve off its tightening course. They expect the Fed will raise rates at its next meeting and this week’s Jackson Hole symposium could provide clues as to whether such confidence is warranted as the spread between 2- and 10-year yields narrowed to the least since 2007 on Friday.
Elsewhere, Turkish markets are closed this week. That may mean low trading volumes and the possibility of sharp currency swings.