Asia Stocks Set to Track U.S. Gains on Better Data: Markets Wrap
Asian stocks looked set to track gains in U.S. counterparts Tuesday after better-than-estimated economic data overshadowed concern over an increase in coronavirus cases. The dollar and Treasuries advanced.
Futures in Japan and Australia pointed higher. Hong Kong assets will be closely watched after the U.S. said it revoked the city’s special status over China’s new security measures. S&P 500 futures had a muted open after the benchmark erased its June decline as a report showed U.S. pending home sales posted a record gain, exceeding all forecasts. The tech-heavy Nasdaq extended gains as Facebook Inc. wiped out its losses. Oil held gains.
Investors are weighing an improvement in U.S. economic data that partly resulted from some states beginning to ease restrictions from lockdowns, against a continued increase in cases. Federal Reserve Chairman Jerome Powell stressed the importance of keeping the coronavirus contagion contained as the economy bounces back.
As deaths from the virus surpassed 500,000 worldwide and confirmed cases exceeded 10 million, the World Health Organization warned the worst is yet to come.
38,845 in U.S.Most new cases today
-10% Change in MSCI World Index of global stocks since Wuhan lockdown, Jan. 23
-1.101 Change in U.S. treasury bond yield since Wuhan lockdown, Jan. 23
-2.3% Global GDP Tracker (annualized), May