Most Asian markets up but early dollar rally fades
SHANGHAI led a broad rally across Asian stock markets yesterday on hopes China will unveil fresh economy boosting measures, while the dollar waned through the day.
Chinese growth has levelled out this year after a painful slowdown, but there are hopes officials will push on with spending measures, particularly of state-owned firms.
“Stabilisation in [China’s] thirdquarter economic data has provided support to the broader market,” Wang Zheng, Shanghai-based chief investment officer at Jingxi Investment Management, told Bloomberg News.
“Some big state-owned enterprises are doing well as there is speculation that the government will accelerate their consolidation to improve efficiency and boost spending to further bolster economic growth.”
The upbeat outlook helped push Shanghai up 1.2 percent by the close, while Hong Kong was 1pc higher.
Tokyo ended up 0.3pc, Seoul gained 0.7pc and Singapore was 0.7pc higher, while Sydney dipped 0.4pc.
On currency markets the dollar retreated after a promising start that was fuelled by growing expectations of a US interest rate rise by year-end.
With the US economy showing increasing signs of recovery, experts say a Federal Reserve increase in December is all but certain. –