MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.62%, while Japan’s Nikkei rose 1.4% to a 30-year high on Tuesday. According to Reuters, the Tuesday opening of Asia’s shares sets the stage for a bullish run of world equities for a 12th consecutive session.
- Hang Seng Index rose 1.4% in Hong Kong to hit a 32-month high, while Australia’s S&P/ASX200 was up 0.7%.
- The rise of Asian shares reflects renewed optimism of global markets following the rollout of coronavirus vaccines expected to keep the global economic recovery on track.
- The gains in Asian stocks were replicated elsewhere, with S&P futures up 0.5%, while MSCI’s all-country world index ticked up slightly.
- The positive sentiment was also extended in bitcoin, which came close to breaking the $50,000 barrier and was trading at $49,323.56 in the Asian afternoon trading session.
- The bullish view lifted bond yields, with the 10-year U.S. treasuries gaining 5 basis points to 1.24% in Asian trade, the highest since late March.
- Investors monitor the Fed’s minutes from the January meeting to be published on Wednesday to confirm its commitment to maintaining dovish policy that will affect bond yields.
- Despite the renewed optimism in stock markets, investors are concerned about the future inflation risk due to central bank and government stimulus programmes worldwide.
Asian and American stocks are currently gaining as European counterparts lose. NI225 is up 1.28%, HSI is up 1.90%, ASX 200 is up 0.70%, S&P 500 is up 0.47%, EURO STOXX is down 0.0037%.