Stock markets in Asia were mostly in the upward direction on Tuesday. Japan’s Nikkei was up 2.2 percent this morning Finnish time. Mainland China’s CSI 300 was down 0.7 percent, Hong Kong’s Hang Seng was down 0.3 percent and Korea’s Kospi was up 0.7 percent.
MSCI’s index, which tracks the world’s stock markets, was on the rise for nine consecutive days, i.e. the rising streak was the longest since December last year.
In the United States, Monday was again a strong day of growth, as the markets were diligently pricing in the Fed’s future interest rate cuts.
“We have seen a lot of data that dispel recession expectations and inflation fears in the United States,” he summed up Capital.comin market analyst Kyle Rodda Bloombergille.
“It also helps the Asian stock market. A weakened dollar supports economies and increases appetite for risk-taking.”
The dollar has depreciated by more than two percent in relation to the international basket of currencies in a few weeks.
Expectations of lower interest rates also pushed the price of gold to a record high of more than $2,500 per ounce.
This week, the market is especially looking at the annual meeting of the central bank Fed in Jackson Hole. The bank’s CEO Jerome Powellin is scheduled to report on the mood of the economy after the meeting ends on Friday.
Interest rate cuts are also expected in Europe. The development of consumer prices in the euro area will be reported today at noon. It is expected that the consumer price index remained at the level of June in July, which would mean a 2.6 percent increase in prices from a year ago. In Germany, the development of producer prices will be reported in the morning, and they are expected to have decreased by 0.8 percent year-on-year.