Photographer: Noriko Hayashi / Bloomberg
Photographer: Noriko Hayashi / Bloomberg
Asian stocks traded on Tuesday after U.S. stocks fell for the first time in five sessions, with near-all-time highs. The dollar widened its rise as Treasury yields reached their highest level since March.
Shares were steady in Japan, but fell in South Korea after a sharp rise this year. The S&P 500 and European futures changed little. Shares and the currency of Malaysia fell after a state of emergency was declared to help combat a jump in coronavirus cases. Bitcoin remained stable after falling as much as 20% on Monday. Gold stopped the losing race and West Texas Intermediate Oil held close to $ 52 a barrel.
With a ten-year Treasury yield of around 1.15%, investors assess the potential risks to the current environment of easy financial conditions and how this could restore expectations for a range of asset classes. . Yields have risen on bets that Democratic lawmakers will enact large spending packages to drive the pandemic’s economic recovery.
Concerns that stocks are heating up too much when major parts of the world are facing the worst outbreak of Covid-19 also weigh on the minds of investors.
“A new, more speculative and volatile phase of the bullish market has begun,” said Julian Emanuel, chief strategist in equities and derivatives at BTIG LLC. “The depth of these setbacks in 2021 depends largely on yields.”
Twitter Inc. fell definitively after the social media platform banned President Donald Trump after a crowd invaded the Capitol building last week. Shares of Facebook Inc., which suspended Trump’s account, also declined.
House Democrats on Monday tabled a resolution to accuse Trump for a second time, setting a vote this week unless Vice President Mike Pence uses his constitutional authority to oust the president.
Savita Subramanian, head of equities and quantitative strategy for the United States Bank of America, talks about how a Democratic-controlled Washington could affect markets and stocks.
Here are some key events:
These are some of the main movements in the markets:
Stocks
- The future S&P 500 changed little from 2:14 p.m. in Tokyo. The S&P 500 index fell 0.7%.
- Japan’s Topix added 0.1%.
- Australia’s S & P / ASX 200 fell 0.3%.
- Hong Kong’s Hang Seng added 0.4%.
- Shanghai Composite rose 0.8%.
- Kospi, South Korea, fell 2.4%.
Coins
- The Spot Bloomberg Dollar index rose 0.1%.
- The yen changed slightly, to 104.31 per dollar.
- The euro fell 0.1% to $ 1.2142.
- The pound traded slightly, at $ 1.3524.
- The offshore yuan was 0.1% higher, at $ 6.4700 per dollar.
Good
- The 10-year Treasury yield stood at 1.15%.
Commodities
- West Texas crude oil fell 0.2% to $ 52.17 a barrel.
- Gold rose 0.4% to $ 1,851 an ounce.
– With the assistance of Vildana Hajric