Major Asian indices started in a positive mood this morning with Nikkei 225 trading above 9,700 level for the first time since early April as the Fed boosted QE with USD 45bln in monthly treasury purchases and suggested QE will be conducted until hitting a target of 6.5% unemployment, and see ‘exceptionally low’ rates through to mid-2015’.
The ASX 200 is flat in today’s session with the consumer goods, telecommunications and technology sectors capping gains in the index. One of the biggest losers Iluka Resources was down over 5% after Co. sees that the zircon declining trend is to continue. Elsewhere, the South Korea KOSPI is firmly trading in positive territory as the Bank of Korea kept its benchmark interest rate unchanged for a second straight month due to the local economy shows signs of recovering.
JPY has continued its recent weakening trend ahead of Japan’s December 16th election and the Bank of Japan’s final policy announcement of this year on December 20th. Both are projected to prove bearish for JPY given the dovish stance of the LDP party and given that the BoJ is likely to expand its asset purchase program. USD/JPY has hit its highest level since March 27th in the early part of today’s session.
Looking ahead, the calendar remains light and we have Tokyo Condominium Sales (Nov) Y/Y due to be released on 0400GMT/2200CST.
As of 0245 GMT:
ASX200 (+0.06 %), Nikkei 225 (+1.59%), Shanghai Comp. (-0.34%), Hang Seng (+0.16%), KOSPI (+0.58%)
Print 02:49, 13 Dec 2012 - Asian News - Source: RANsquawk
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