AFP, Hong Kong :
Asian markets mostly rose on Wednesday with a broadly upbeat tone across trading floors ahead of major meetings at the European and US central banks, while there is also a growing sense of optimism over China-US trade talks.
News that Donald Trump had fired his fervently hawkish national security adviser also lifted sentiment with analysts saying it could see the White House take a less strident approach and ease geopolitical tensions.
With the global economy stuttering attention has turned increasingly to central banks as investors look for more stimulus.
On Thursday the European Central Bank holds one of its most anticipated gatherings and hopes are for a series of fresh measures including a possible interest rate cut, fresh bond-buying quantitative easing (QE) or other loosening tools. That is followed by the Federal Reserve’s board meeting next week, where it is tipped to announce another reduction in borrowing costs as the world’s top economy – which has so far been the strongest globally – stutters.
“With the expectation of the resumption of quantitative easing by the ECB… and a rate cut by the Federal Reserve next week, the risk environment has solidified and tempted investors out of hiding from the bond markets and back into equities,” said Jeffrey Halley, senior market analyst at OANDA.
Asian markets mostly rose on Wednesday with a broadly upbeat tone across trading floors ahead of major meetings at the European and US central banks, while there is also a growing sense of optimism over China-US trade talks.
News that Donald Trump had fired his fervently hawkish national security adviser also lifted sentiment with analysts saying it could see the White House take a less strident approach and ease geopolitical tensions.
With the global economy stuttering attention has turned increasingly to central banks as investors look for more stimulus.
On Thursday the European Central Bank holds one of its most anticipated gatherings and hopes are for a series of fresh measures including a possible interest rate cut, fresh bond-buying quantitative easing (QE) or other loosening tools. That is followed by the Federal Reserve’s board meeting next week, where it is tipped to announce another reduction in borrowing costs as the world’s top economy – which has so far been the strongest globally – stutters.
“With the expectation of the resumption of quantitative easing by the ECB… and a rate cut by the Federal Reserve next week, the risk environment has solidified and tempted investors out of hiding from the bond markets and back into equities,” said Jeffrey Halley, senior market analyst at OANDA.
