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Asian stocks are gaining ground despite a worsening epidemic and inflation fears

TOKYO (AP) – Asian stocks rallied on Tuesday as investors cut deals after a recent outbreak of an epidemic in recent countries.

The Ke aponia benchmark, the Nikkei 225, rose 2.1% to 28,406.84. South Korea’s Kospi gained 1.2% to 3172.73. The Australian S & P / ASX 200 increased 0.6% to 77,066.00. The Hong Kong Hang Seng jumped 1.3% to 28,564.36 and the Shanghai Composite rose 0.2% to 3524.13.

Regional markets in the last quarter have pushed out data showing that the quarter aponia economy shrank at an annual rate of 5.1% as new coronavirus cases increased. Analysts expected the results, but do not expect the situation to improve soon.

Although Asia has so far done better in controlling COVID-19 infections than in the United States, parts of South, Central America, and Europe, concerns are growing over recent waves in India, Japan, Japan, Thailand, and other countries.

Yeap Jung Rong, Singapore’s IG market strategist, says Asian markets are seeking to “return from the weakness of concerns about the resurgence of the virus.”

US stocks slipped on Monday, further hurting last week’s slides as inflation concerns continued to fall on Wall Street.

The S&P 500 fell 0.3% to 4,163.29, while tech stocks and other former market losers again bore the brunt of the losses. The benchmark index is down 1.4% weekly from its record high, which would have been even worse had it not been for the late return.

The Dow Jones Industrial Average was down 0.2% at 34,327.79, while the Nasdaq Composite was down 0.4% at 13,379.05.

Most of the S&P 500 shares fell, but the pockets of power helped limit the losses. Energy stocks skyrocketed as crude oil prices soared and producers of other raw materials, metals, rose. The Russell 2000 index of smaller shares rose 0.1% to 2227.12%.

These were the recent reversals of the market, which raised doubts about whether rising inflation was temporary or persistent. Prices are rising for everything from car insurance to restaurant food as the economy emerges from last year’s epidemic.

The fear is that in the event of inflation, the Federal Reserve will have to call for broad support for the markets. This includes record low interest rates $ $ 120 billion in monthly bond purchases for the labor market և economy goose.

Higher interest rates stretch most of the stock market, but they are especially painful for the most expensive shares հայտ the stock that is expected to make a profit in the future.

This puts additional pressure on companies that promise to accelerate the growth of technology stocks that have dominated the market for years. Apple, Microsoft և Tesla were among the heaviest weights in the S&P 500 on Monday, falling 0.9% և 2.2%.

Reports of profits from tech titans and other US corporations helped validate the huge stock gain. The economy grew stronger when the COVID-19 vaccine was introduced, with the S&P 500 gaining 11.3% in the first four months of the year. This is a bigger profit than the market has had in the last 20 years.

With all the inflation concerns, many professional investors are reacting to the Federal Reserve, saying they expect price increases to be “transient.” Many analysts also expect strong corporate earnings growth as the economy improves and the labor market improves. It should help support stock prices, although it may not be a big boost after last year when stocks rose.

At the New York Mercantile Exchange, the American crude oil brand added 51 cents per barrel to $ 66.78 per barrel. It rose 90 cents to $ 66.27 on Monday. International Brent crude rose 53 cents to $ 69.99 a barrel.

In foreign exchange trading, the US dollar fell from 109.21 yen late on Monday to 109.11 Japanese yen. The value of the euro was 1.2181 dollars against 1.2153 dollars.


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