Asian stocks mixed as US-China tensions simmer

Australian government bond yields plumbed fresh all-time lows and the Aussie fell as the unemployment rate unexpectedly rose, though moves eased.

May 16, 2019 03:05 IST India Infoline News Service

US equity futures declined and the yen edged up as Sino-American tensions continued to flare, leaving Asian equities volatile on strong volumes.

Stocks fell in Tokyo and Seoul along with S&P 500 Index futures after President Donald Trump moved to curb Huawei Technologies Co.’s access to the US market and American suppliers. Rallies lifted indexes in Hong Kong and China.

Australian government bond yields plumbed fresh all-time lows and the Aussie fell as the unemployment rate unexpectedly rose, though moves eased. Treasuries held steady after the two-year yield touched the lowest level since February 2018. Ten-year yields were at 2.37%. Oil rose above $62 in New York.

On Wall Street Wednesday, US equities closed higher as Bloomberg reported Trump would postpone by up to six months a decision on car tariffs that was due by Saturday.

Meanwhile, traders are increasing bets on the Federal Reserve cutting borrowing costs later this year. Federal Reserve Bank of Richmond President Thomas Barkin said while he favours keeping interested rates on hold, for now, he worries that business confidence is fragile amid slowing global growth and trade disputes.

Source: Bloomberg

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