With traders anticipating details related to one central bank meeting in the region, Asian stocks responded with trading trends in the higher direction. Traders are also processing mixed economic data related to the U.S. that was announced on Monday. On Monday, the Asian markets observed that Japan’s Nikkei 225 is lower 0.80% with the weakening trends of the USD/JPY.
However, Asian stocks indicated upward trends mostly. South Korea’s Kospi is seen to be trading just higher by 0.02%. Hong Kong’s Hang Seng was observed to have increased 0.25% whereas the Shanghai Composite rose 0.60%. Singapore’s Straits Times Index is ahead 0.12% as well as S&P 500 futures are also looking up 0.09%. The benchmark U.S. index was observed to have closed lower moderately on Monday subsequent to reaching a new record high the previous Thursday. Chinese equities are shedding their worst performance related to the first quarter, observed since three years.
In advance to the Governor of the Bank of Japan, Haruhiko Kuroda presiding over his initial monetary policy meeting, traders are resorting to hedging strategies with their bets. With traders considering the U.S. dollar as a safe haven in the recent times, the yen indicates an increase with reference to the dollar. The yen also continues to hover at a higher position against the euro.
Australia’s S&P/ASX 200 is seen to be trading reasonably higher in advance of the most recent monetary policy meeting of the Reserve Bank of Australia. The overnight cash rate in Australia, is presently positioned at a value of 3%, in the vicinity of a record low with reference to the country’s stand, however it is one of the highest rates with respect to the developed world. Although recent bias of the RBA has been directed towards easing, the central bank maintained rates in an unaffected trend subsequent to its previous two policy meetings.
In other news, the focus was on the U.S., with the Institute for Supply Management’s March index dropping to 51.3 from a value of 54.2 in February. Readings higher than 50 signify expansion and there was anticipation among analysts that the index to maintain at 54.2 without any change.