Asian shares cautiously higher as investors await Fed policy update | Malay Mail

26/1/2022 6:43:00 AM

Asian shares cautiously higher as investors await Fed policy update | Malay Mail

Asian Economy, Asian Stocks Up

Asian shares cautiously higher as investors await Fed policy update | Malay Mail

BEIJING, Jan 26 ― Asian share markets got off to a cautious start today, after another volatile Wall Street session, as investors braced for the outcome of the Fed's meeting late in the day and any hints about faster tightening of monetary policy. MSCI's broadest index of Asia-Pacific shares...

channel for the latest updates.BEIJING, Jan 26 ― Asian share markets got off to a cautious start today, after another volatile Wall Street session, as investors braced for the outcome of the Fed's meeting late in the day and any hints about faster tightening of monetary policy.

MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.26 per cent early today, but the index has skidded 2.4 per cent this year, and is testing mid-December's one-year low.Concerns that the Fed's expected interest rate hikes could hammer Asia's equities markets have dragged on the regional benchmark, though moves elsewhere have been even more dramatic.

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Sterling steadies near three-week low amid Fed hike bets, Ukraine fears | Malay MailLONDON, Jan 25 — Sterling steadied near a three-week low versus the US dollar today as investors remained cautious on risk assets amid growing tensions in Ukraine and bets the Federal Reserve will hike rates. Sterling, which is considered a riskier currency, has been under pressure as investors...

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Asian shares cautiously higher as investors await Fed policy updateBEIJING (Jan 26): Asian share markets got off to a cautious start on Wednesday, after another volatile Wall Street session, as investors braced for the outcome of the Fed's meeting late in the day and any hints about faster tightening of monetary policy.MSCI's broadest index of Asia-Pacific shares outside Japan was up 0.26% early on Wednesday, but the index has skidded 2.4% this year, and is testing mid-December's one-year low.Concerns that the Fed's expected interest rate hikes could hammer

Stocks extend sell-off as Fed, geopolitical fears loomNEW YORK (Jan 25): Wall Street plunged in a broad-based sell-off on Monday, and the S&P 500 came within a hair's breadth of a correction as investors faced an increasingly hawkish Federal Reserve, growing geopolitical tension and persistent headwinds from the pandemic. The major U.S. stock indexes pared their losses in mid-afternoon trading with the S&P 500 hovering around a 10% drop from its record closing high on Jan 3, a move that would confirm the index is in

South Korean shares hit 13-month low ahead of Fed meetingBENGALURU (Jan 24): South Korean shares hit a 13-month low on Monday, leading losses among Asia's emerging stock markets as risk appetite waned on fears the US Federal Reserve could adopt a more aggressive stance on policy tightening at its meeting later this week.Market participants were cautious ahead of the Fed's rate-setting Federal Open Market Committee meeting, where some analysts have started to speculate it is possible, though unlikely, that interest rates will be hiked for the first time

Telegram channel for the latest updates.Telegram channel for the latest updates.Telegram channel for the latest updates.Telegram channel for the latest updates.

BEIJING, Jan 26 ― Asian share markets got off to a cautious start today, after another volatile Wall Street session, as investors braced for the outcome of the Fed's meeting late in the day and any hints about faster tightening of monetary policy. MSCI's broadest index of Asia-Pacific shares outside Japan was up 0. Tech firms — which soared on the back of the pandemic — led the retreat in New York after weak subscriber figures from Netflix fuelled concerns that the end of lockdowns and reopening of economies is seeing consumers changing their spending habits.26 per cent early today, but the index has skidded 2. They sold off other riskier assets like stocks.4 per cent this year, and is testing mid-December's one-year low. Minutes from the Fed’s December gathering indicated officials were turning more hawkish as they grow increasingly concerned about inflation, which is sitting at a four-decade high. Concerns that the Fed's expected interest rate hikes could hammer Asia's equities markets have dragged on the regional benchmark, though moves elsewhere have been even more dramatic. “What will prompt investors to scurry about will be the guidance Chair Powell might give at his press conference about quantitative tightening later in 2022,” Neumann said, adding that he was not expecting a policy change.

Globally, US stocks posted their worst week since 2020 last week, and MSCI's world index is on course for its biggest monthly drop since the Covid-19 pandemic hit markets in March 2020. Economists at Goldman Sachs said at the weekend they saw increases in March, June, September and December, with July as the start of the Fed’s balance sheet reduction but warned inflation pressures meant “risks are tilted somewhat to the upside of our baseline”. “Events in Ukraine and the global equity correction have shifted the focus from inflation (and) tightening over the last week and more towards a flight to safety,” Chris Turner, Global Head of Markets at ING, told clients. Japan's Nikkei lost 0.8 per cent to hover around its lowest level since December 2020. “We see a risk that the (policy board) will want to take some tightening action at every meeting until that picture changes,” the economists said. The Fed is due to update its policy plan later today, likely fleshing out timing for expected rate hikes and shrinking its massive balance sheet. Sterling was flat versus the greenback at US$1. “Asian markets are currently being affected by volatility in global markets, concerns about Fed tightening in the face of higher inflation and uncertainty about events in Russia and Ukraine,” said Mansoor Mohi-uddin, chief economist at Bank of Singapore.” The prospect of tighter policy has battered markets in recent weeks, with the Nasdaq in New York down about 15 per cent from its recent peak—tech firms are considered more susceptible to higher rates. The dollar index, which measures the greenback against six major peers was steady at 95.

Growing tensions as Russian troops massed on Ukraine's border have added to a risk-averse environment for investors. “We expect the Fed meeting, however, will not add to volatility. The selling filtered through to Asia, with Mumbai 2.3441, its lowest level since January 3, touched in the previous day. The central bank is set to only finish its quantitative easing in March and while it will signal interest rates are likely to be raised in March too, the Fed will endorse market expectations for quarterly 25bps hikes for its fed funds rate rather than more aggressive tightening this year,” Mohi-uddin added. Money markets are priced for a first rate hike by the Fed in March, with three more quarter-point increases by year-end. There were also losses in Sydney, Singapore, Manila and Bangkok, but Tokyo, Shanghai and Taipei squeezed out gains. Fed tightening is putting pressure on some central banks in Asia to follow suit, potentially hurting their equity markets as happened in 2013 when the US central bank began tapering its post financial crisis stimulus.73 pence, after sliding to its lowest level this year on Monday against the single currency.01), the lower end of its recent range.

“As long as turbulence remains relatively contained to equity markets, the bar for the Fed becoming dovish is high,” said analysts at Nomura in a note. “The shift in tone from central banks would appear to suggest that they have belatedly started to become more concerned about how recent price surges might become more embedded than was thought to be the case only a few weeks ago,” said CMC Markets analyst Michael Hewson. They said they thought some of the Fed's policy committee would interpret the latest sell off in equities as potentially taking out some of the “froth” in the market, so it would not change their view, especially amid worries about high inflation. In early trade this morning, China's blue-chip index rose 0.” He added that geopolitical concerns surrounding Russia’s military build-up on the Ukraine border were also weighing on traders’ minds. Therefore, the potential for the BoE to deliver a surprise, which could push sterling meaningfully higher, is limited,” said Dean Turner, UK economist at UBS Global Wealth Management.4 per cent, while Hong Kong's Hang Seng Index was up 0.6 per cent. “Physical market demand is strong, as is optimism over Covid turning endemic,” Vandana Hari, of Vanda Insights, said. Traders say that as institutional investors increase their exposure to cryptocurrencies, their moves are more closely correlated with other risk assets.

Hao Hong, Head of Research at BOCOM International, expects limited appetite from investors to hold big positions in Asia after heavy market selling, as the Chinese New Year approaches. US Treasuries were steady today, with yields on two year notes at 1.” Key figures around 0820 GMT Tokyo — Nikkei 225: UP 0.0273 per cent, holding onto gains made earlier this month. The yield on benchmark 10-year Treasury notes was 1.37 (close) Hong Kong — Hang Seng Index: DOWN 1.7814 per cent, a little below the two-year high of 1.1333.

9 per cent hit last week.46 (close) London — FTSE 100: DOWN 0. S&P 500 futures fell 0.13 per cent and Nasdaq futures were flat.02 Shanghai — Composite: FLAT at 3,524. On the previous trading day, the Dow Jones Industrial Average fell 0.19 per cent, the S&P 500 lost 1.1318 from US$1. — Reuters You May Also Like.

22 per cent and the Nasdaq Composite dropped 2.28 per cent.3543 from US$1. The dollar index against a basket of major currencies was mostly unchanged, although the US greenback lost some ground against the safe haven yen, which has benefited from a flight to safety in recent months, and the Australian dollar. US crude fell 0.58 pence from 83.4 per cent today to US$85.

26 (RM356) per barrel and Brent crude eased 0.76 yen from 113.16 per cent to US$88.04 per barrel.6 per cent at US$85. Spot gold added 0.1 per cent to US$1,848.6 per cent at US$88.

41 an ounce, having hit a two month high overnight as investors sought safety. ― Reuters You May Also Like .3 per cent at 34,265.