Precise Investors Editorial Team
Hong Kong, Shanghai, Sydney, Seoul, Singapore, Taipei, Bangkok, Wellington and Jakarta all rose
Asian markets rose Thursday, tracking a record day on Wall Street where traders endured a rollercoaster fuelled by fears Donald Trump was considering sacking the head of the US Federal Reserve.
Investors have walked a cautious line this week as they ascertain the trade outlook after the US president unveiled a flurry of fresh tariff threats, with the latest being letters to scores of countries notifying them of levies of up to 15 percent.
Meanwhile, Tokyo-listed shares in the Japanese owner of 7-Eleven plunged after its Canadian rival pulled out of an almost $50 billion takeover bid, ending a long-running battle over the convenience store giant.
ACT released a letter sent to Seven & i’s board, accusing it of “a calculated campaign of obfuscation and delay”.
All three main indexes in New York ended in the green on Wednesday, with the Nasdaq at another record, following a brief sell-off that came after it emerged Trump had raised the idea of firing Fed boss Jerome Powell in a closed-door session with lawmakers.
The markets soon bounced back after Trump denied he was planning to do so, saying: I don’t rule out anything, but I think it’s highly unlikely.
The news caused a spike in US Treasury yields amid fears over the central bank’s independence and came after the president spent months lambasting Powell for not cutting interest rates, calling him a “numbskull” and “moron”.
This Trump vs. Powell saga is obviously important to market sentiment, and it seems fair to think Trump’s series of social posts was strategically designed to gauge the reaction in markets — a trial balloon if you will, said Chris Weston, head of research at Pepperstone.
Asian markets opened on a wary note but most managed to take up Wall Street’s lead as the day wore on.
Hong Kong, Shanghai, Sydney, Seoul, Singapore, Taipei, Bangkok, Wellington and Jakarta all rose.
There were losses in Mumbai and Manila.
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