Asian shares extend gains on recovery hopes, following stellar November
December 01, 2020 @ 13:17 +03:00
Asian share markets began the new month with a bang on Tuesday, buoyed by the prospect of a COVID-19 vaccine fueling a global economic recovery, buoyant Chinese factory activity and expectations of continuing fiscal and monetary support. MSCI’s broadest index of Asia-Pacific shares outside Japan added 1.08% after closing the month 9% higher, the best November since 2001.
China’s blue-chip CSI300 index jumped to be 1.56% higher on Tuesday, after a business survey showed on Tuesday activity in China’s factory sector accelerated at the fastest pace in a decade in November. Japan’s Nikkei was up 1.34% while South Korea was up 1.5%. Australia’s S&P/ASX 200 was 1% higher after Australia’s central bank said the country’s economy would need fiscal and monetary support “for some time” while noting the run of better news. MSCI’s gauge of stocks across the globe was 0.18% higher and E-Mini futures for the S&P 500 were up 0.9%.
Moderna Inc applied for U.S. emergency authorization for its COVID-19 vaccine after full results from a late-stage study showed it was 94.1% effective with no serious safety concerns. The progress on the COVID-19 vaccines and hopes of a swift economic rebound next year were adding to the optimistic sentiment in the market, analysts said.
The dollar was under pressure on Tuesday, after closing out its worst month since July with a little bounce and as investors reckon on even more U.S. monetary easing. The U.S. bond market was slightly weaker, as the U.S. Congress began a two-week sprint to secure government funding and avoid a possible shutdown amid the coronavirus pandemic. Benchmark U.S. 10-year yields rose with U.S. Treasury futures trading one pip lower at $138.51. Oil prices were slightly lower on uncertainty about whether the world’s major oil producers would agree to extend deep output cuts at talks this week. U.S. crude eased back 35 cents to $44.99 a barrel on Tuesday, while Brent crude futures were 33 cents lower at $47.55.
Asian shares extend gains on recovery hopes, following stellar November, Reuters, Dec 1