Asian equities ascend on diving Yuan

Asian equities ascend on diving Yuan

On Friday, Asian stocks concluded the trading session generally up, underpinned by a sag in the Chinese Yuan versus the evergreen buck, although trade uncertainty kept putting pressure on global markets.

The Shanghai Composite Index SHCOMP soared by 2.1%, the Hang Seng HIS gained 0.8% in Hong Kong.

On Friday, the Chinese Yuan managed to reach a one-year minimum versus the evergreen buck after the Chinese government decreased its official exchange rate down by about 0.9%, setting it on 6.7671 per dollar, which is the largest rebound for two years. As a matter of fact, the Chinese Yuan has headed south by 2.3% versus the evergreen buck in July.

A slumping Yuan makes Chinese products more affordable for foreign purchasers, although soaring protectionism around the world could restrict the ability of export-driven companies to derive its full benefits. Moreover, the weaker Yuan also makes it more difficult for China’s businesses to have dollar-denominated debt serviced.

The Yuan’s dive has provoked criticism from Donald Trump. US leader told that raising interest rates along with a stronger greenback makes the US economy less competitive.

Traders are anticipating an extra two rate lifts from the Federal Reserve in 2018.

A stronger greenback reflects investor optimism as for the state of the American economy and also what has been a firm revenue season.

The US-China trade clash has yet to make a powerful impact on the American economy. However, worries as for worsening tensions have suppressed investor sentiment.

US leader told that he was about to slap duties on up to $500 billion of Chinese products. Previously, Donald Trump repeated his threat to impose duties on EU vehicles. In return, the European Union promised to fight back.  

The Nikkei NIK dipped by 0.3%. In Korea, Kospi ascended by 0.3%.

Similar

Asian equities head north

On Tuesday, Asian markets managed to rally, with Apple suppliers outperformed right after the American tech company filed an appeal for the purpose of overturning a sales ban of some of its smartphones in China…

EU equities slump

On Monday, escalating US-Chinese trade tensions impacted European equities due to the fact that market participants fled risk at the beginning of a highly uncertain week, with the UK’s parliamentary vote on Brexit looming too as well as chemicals shares…

Latest news

Greenback edges down

On Tuesday, the evergreen buck dived because the common currency bounced off and the UK pound managed to ascend to the day’s maximums reacting to reports that British Prime Minister Theresa May is going to take control of Brexit talks…

Deposit with your local payment systems

Callback

A manager will call you shortly.

Change number

Your request is accepted.

A manager will call you shortly.

Internal error. Please try again later

Beginner Forex book

The most important things to start trading
Enter your e-mail, and we will send you a free Beginner Forex book

Thank you!

We've emailed a special link to your e-mail.
Click the link to confirm your address and get Beginner Forex book for free.

You are using an older version of your browser.

Update it to the latest version or try another one for a safer, more comfortable and productive trading experience.

Safari Chrome Firefox Opera