Asian Markets Boosted By FBI Clinton Announcement
Muhammad Rameez Published November 07, 2016 | 01:50 PM
HONG KONG, Nov 7 (UrduPoint / Pakistan Point News - 07th Nov, 2016 ) : Asian equities staged a rebound and the Mexican peso rallied Monday as traders breathed a sigh of relief after the FBI chief said market favourite Hillary Clinton would not face charges over her use of a private email server.
Investors were sent into a funk last week after James Comey said messages linked to the Democratic presidential nominee were being investigated, sending rival Donald Trump surging in opinion polls just days before the November 8 vote.
The former secretary of state is considered by most investors to be a safer bet than Trump, who is seen as a loose cannon with policies many fear could wreck the world's top economy. However, Comey on Sunday announced he would not change his July recommendation that Clinton not be prosecuted for allegedly putting US secrets at risk.
"Markets are likely to remove some of the risk premium taken as a precaution against a Trump victory now that Hillary Clinton will not be charged over her use of a private email server," said CMC Markets chief analyst Ric Spooner.
"However, an element of uncertainty remains over this election. It seems unlikely that markets will make a full 'risk on' move until Clinton is declared the winner." - Mexican peso rallies - ======================== Tokyo's Nikkei ended 1.6 percent higher while Hong Kong closed up 0.7 percent, with banking giant HSBC more than two percent higher after it reported a forecast-beating rise in pre-tax profit.
Shanghai closed up 0.3 percent, Sydney added 1.4 percent and Seoul gained 0.8 percent, while Wellington soared 2.4 percent and Singapore put on 0.5 percent. In early European trade London and Paris each jumped 1.6 percent and Frankfurt put on 1.4 percent.
Futures on Wall Street also rallied, with the broad-market S&P 500 and Dow each more than one percent higher.
The news also provided strong support for the Mexican peso, which soared more than two percent against the Dollar Monday, having been battered last week.
The peso is considered a proxy for Trump's chances because of his anti-Mexican rhetoric throughout the campaign -- including his pledge to remove undocumented migrants, build a border wall and tear up a trade deal.
Also helping stocks was a solid US October jobs report which gave the Federal Reserve fresh ammunition to raise rates in December, while the bank's vice chair Stanley Fischer said the labour market was in a "powerful" recovery and inflation was picking up.
The dollar rallied on the FBI news, breaking back above 104 Yen while also ticking back up against the pound. Sterling surged last week after Thursday's London court ruling that the British government would need parliamentary approval to officially move to pull out of the European Union.
The pound pushed above $1.25 to its highest level in a month but eased Monday. - Key figures at 0800 GMT - =========================== Tokyo - Nikkei 225: UP 1.6 percent at 17,177.21 (close) Hong Kong - Hang Seng: UP 0.70 percent at 22,801.40 (close) Shanghai - Composite: UP 0.3 percent at 3,133.33 (close) London - FTSE 100: UP 1.6 percent at 6,797.97 Pound/dollar: DOWN at $1.2428 from $1.2519 Friday Dollar/Mexican peso: DOWN at 18.606 pesos from 19.0266 pesos Euro/pound: UP at 89.09 pence from 88.96 pence Euro/dollar: DOWN at $1.1070 from $1.1137 Dollar/yen: UP at 104.46 yen from 103.04 yen Oil - West Texas Intermediate: UP 77 cents at $44.84 a barrel Oil - Brent North Sea: UP 77 cents at $46.35 New York - Dow: DOWN 0.2 percent at 17,888.28 (close)
Related Topics
Recent Stories
UHS declares MBBS first prof, MS urology exam results
Separate coaches to be hired for ODIs, Test and T20I formats
Finance Minister calls for reforming tax system to improve country's economy
PM calls for joint efforts to check smuggling, power theft
Infinix Unveils a Vibrant New Chapter with Wahaj Ali: The face of Infinix NOTE 4 ..
PM makes two more appointments in his team
Terrorists of Shangla suicide attack will be brought to justice: Interior Minist ..
Applications Open for 6th Cycle of Start-up Incubation under the National Expans ..
Join vivo's "Light it Up" Social Media Contest in Ramadan to Win vivo V30 5G
Pakistan v New Zealand T20I series: Tickets to go on sale from today
Currency Rate In Pakistan - Dollar, Euro, Pound, Riyal Rates On 29 March 2024
Today Gold Rate in Pakistan 29 March 2024
More Stories From Business
-
Prudent policies lead to sustainable economic recovery: Finance Ministry
59 minutes ago -
Exchange rates for currency notes
2 hours ago -
PTC rebuts misleading tax loss figures, seeks fair market competition
3 hours ago -
Economy commences on better note in 2024: Finance Minister
3 hours ago -
Gold rates up by Rs.3,800 to Rs.234,800 per tola
3 hours ago -
SACM directs authorities to find out solution to problems of miners, crush plants
3 hours ago
-
Weekly inflation falls slightly
3 hours ago -
Uzbekistan's Ambassador, Pakistan’s Commerce minister forge path for enhanced economic ties
4 hours ago -
Finance Minister calls for reforming tax system to improve country's economy
4 hours ago -
Economy commences on better note in 2024: Finance Minister
4 hours ago -
BIST 100 up at Friday’s open
5 hours ago -
Biden administration approves $60M to rebuild Baltimore bridge
5 hours ago