World Markets
17 June 2021
World Markets at a glance for Currency, Equity, Commodity, Bonds, Crypto Currency, Financial News & Major Economic Events.
- Dollar hits two-month highs on Fed’s hawkish surprise
- Japan’s Nikkei 225 drops 1% as Asia markets mostly slip after U.S. Fed signals rate hikes in 2023
- Crude oil prices drop, pressured by stronger U.S. dollar
Currency
The dollar rose to its highest level in almost two months versus major peers on Thursday after the Federal Reserve brought forward its projections for the first post-pandemic interest rate hikes into 2023, citing an improved health situation and dropping a long-standing reference that the crisis was weighing on the economy.
The dollar index, which tracks the currency against six rivals, ticked up to 91.459 in Asia, building on its nearly 1% surge overnight, the biggest gain since March of last year. The dollar climbed to an almost two-month high of $1.1984 per euro on Thursday, extending its gain of about 1% from the previous session.
It strengthened to as high as 110.825 yen, a level not seen since April 1, adding to a 0.6% rally overnight. The Australian dollar dipped to $0.75975, the lowest since April 13, after tumbling 1% on Wednesday. Sterling slipped to the lowest since May 7 at $1.39745, and the Canadian dollar hit the weakest since May 5 at C$1.2292.
Equity
Shares in Asia-Pacific were mostly lower in Thursday morning trade, as investors watched for market reaction after the U.S. Federal Reserve on Wednesday moved up its timeline for rate hikes.
In Japan, the Nikkei 225 fell 1.11% in morning trade while the Topix index dipped 0.62%. South Korea’s Kospi declined 0.65%. Mainland Chinese stocks were mixed, as the Shanghai composite shed about 0.1% while the Shenzhen component advanced 0.283%. Hong Kong’s Hang Seng index fell 0.61%. The S&P/ASX 200 in Australia fell 0.48%. MSCI’s broadest index of Asia-Pacific shares outside Japan traded 0.77% lower.
Oil
Crude oil prices fell on Thursday pressured by a stronger U.S. dollar, but losses were limited by a big drop in crude oil inventories in the United States, the world’s top oil consumer.
Brent crude oil futures dropped by 74 cents, or 1%, to $73.65 a barrel after reaching its highest since April 2019 in the previous session. U.S. crude oil futures fell by 69 cents, or 1%, to $71.46 a barrel, after reaching its highest since October 2018 the previous day.
Economic Events
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Disclaimer : All information in this report is collected from various sites on internet. Although we have taken all precautions for correct representation of data however we do not take any responsibility for any errors and omissions. The technical analysis and views expressed is authors own views. We are not responsible for any losses on account of following the same.
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