Stocks in Asia saw modest gains on Monday as investors continued to bid up prices after seven weekly advances that’s left a regional benchmark at the highest level since early 2018.
Oil saw the most dramatic moves on a Monday that may be otherwise subdued by a U.S. holiday. Crude rose following supply disruptions in Libya and Iraq. Currencies and bonds were little changed. Equities rose in Tokyo and Seoul, edged up in Sydney and opened little changed in Hong Kong and Shanghai. While stock benchmarks have hit record highs in the U.S. and Europe, the MSCI Asia Pacific Index remains more than 7% from its peak, still nursing wounds from the trade war and China’s slowdown.
Indicators of economic health from China and the U.S. last week provided some encouragement for investors looking for signs the global outlook is improving. Attention this week turns back to corporate earnings season.
“We are entering 2020 on a more stable footing with economies globally stabilizing and looking like they’re turning up, and the phase one trade deal" Anne Anderson, head of fixed income for Australia at UBS Asset Management, told Bloomberg TV in Sydney. “So it’s a bit more positive with regard to the economic fundamentals."
Meanwhile, oil traders are watching developments in Libya after one of the country’s commanders blocked oil exports at ports under his control. International leaders are working in Germany toward a more durable cease-fire in the Libyan civil war. In Iraq, supply from a second production site is at risk as widespread unrest escalates in one of OPEC’s biggest producers.
Here are some events to watch out for this week:
Companies including Netflix, IBM, UBS, Procter & Gamble and Hyundai will post results.
Policy decisions are due from central banks including Japan, Canada, Indonesia and the European Central Bank.
The World Economic Forum, the annual gathering of global leaders in politics, business and culture, opens in Davos, Switzerland.
These are the main moves in markets:
Japan’s Topix index rose 0.5% as of 10:31 a.m. in Tokyo.
Futures on the S&P 500 were little changed. The underlying gauge rose 0.4% on Friday.
South Korea’s Kospi advanced 0.9%.
Shanghai Composite was up 0.2%.
Hang Seng Index ticked up 0.1%.
Australia’s S&P/ASX 200 Index gained 0.2%.
The yen was steady at 110.16 per dollar.
The offshore yuan held at 6.8604 per dollar, near its strongest since August.
The euro bought $1.1097, little changed.
The yield on 10-year Treasuries ended Friday at 1.82%.
Australia’s 10-year yield was flat at 1.18%.
West Texas Intermediate crude rose 1% to $59.14 a barrel.
- Gold was at $1,558.76 an ounce.
This story has been published from a wire agency feed without modifications to the text. Only the headline has been changed.