Get 40% Off
🤯 This Tech Portfolio is up 29% YTD! Join Now to Get April’s Top PicksGet The Picks – Just 99 USD

Asian Stocks Up, Investors Weighed the Fed’s Determination to Tame Inflation

Published 07/07/2022, 03:58
Updated 07/07/2022, 03:58
© Reuters

© Reuters

By Zhang Mengying

Investing.com – Asia Pacific stocks were mostly up on Thursday morning as investors assessed the minutes from the U.S. Federal Reserve’s June meeting which showed the central bank’s determination to tackle inflation.

Japan’s Nikkei 225 jumped 1.24% by 10:55 PM ET (2:55 AM GMT).

South Korea’s KOSPI gained 1.73%.

In Australia, the ASX 200 rose 0.35%.

Hong Kong’s Hang Seng was down 0.49%.

China’s Shanghai Composite was up 0.35% while the Shenzhen Component was up 0.47%.

The minutes from the Fed’s June meeting suggested the possibility of an “even more restrictive” monetary policy to prevent long-lasting inflation. Now investors have priced in another 75-basis point interest rate hike in July from the Fed.

Investors are grappled with threats from soaring prices and a gloomy economic outlook amid tightening monetary policies.

Over the last couple of weeks “all asset classes have been giving us a unified message, which is slower growth is coming ahead,” Edward Jones & Co. senior investment strategist Mona Mahajan told Bloomberg.

Data released on Wednesday showed that U.S. job openings dropped slightly in May but remained near a record, pointing to resilient demand for labor.

In Asia Pacific, the People’s Bank of China is expected to withdraw cash from the financial system, suggesting that it’s moving toward normalizing monetary policy.

Elsewhere, U.K. Prime Minister Boris Johnson said he will not resign as Conservative leader and prime minister although some of ministers quit.

Latest comments

Risk Disclosure: Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.
© 2007-2024 - Fusion Media Limited. All Rights Reserved.