Japanese stocks hit record high

VTV.vn - Asian stocks rose sharply on the morning of October 27, as US-China trade tensions cooled down, helping the Nikkei 225 index surpass 50,000 points for the first time and the Kospi surpass 4,000 points.

Outside the Tokyo Stock Exchange (TSE) in Tokyo, Japan. Photo: VNA

Easing trade tensions between China and the US pushed stock prices up sharply on the morning of October 27, with Japan's Nikkei 225 index surpassing the 50,000-point mark for the first time and South Korea's Kospi index surpassing the 4,000-point mark for the first time.

Asian stock markets surged, as signs of easing trade tensions between China and the United States boosted risk appetite in a volatile week of central bank meetings and large-cap earnings.

MSCI's broadest index of Asia- Pacific shares outside Japan rose 1.3%. In the first 15 minutes of trading, the Nikkei 225 rose 948.64 points, or 1.92%, to 50,248.29, while the Kospi gained 81.55 points, or 2.07%, to 4,023.14, on hopes that the US and China will soon reach a comprehensive trade deal. In China, the Shanghai Composite Index rose 0.48% to open at 3,969.22.

Top economic officials from China and the United States discussed on October 26 a framework trade deal that President Donald Trump and his Chinese counterpart Xi Jinping could agree on later this week during a meeting expected in South Korea. A trade deal would halt additional U.S. tariffs on Chinese goods and Chinese controls on rare earth exports, helping ease investor worries about escalating trade tensions between the world's two largest economies.

Charu Chanana, chief investment strategist at Saxo, said investors would want to wait for confirmation of a US-China trade deal, and that signs of Chinese stimulus and reform would translate into a clear growth driver. Chris Weston, head of research at Pepperstone, said a trade deal was not a surprise to markets as it was largely expected. However, buying activity could fuel gains in risk-sensitive assets throughout the week.

Investors will also focus this week on central bank meetings in Japan, Canada, Europe and the US. The US Federal Reserve is widely expected to cut interest rates by 25 basis points after data showed consumer prices rose less than expected in September, but the government shutdown and the impact on the release of the data remain a concern. The European Central Bank and the Bank of Japan (BoJ) are both widely expected to leave interest rates unchanged later this week. While the BoJ may debate whether conditions are ripe for further rate hikes as fears of a tariff-induced recession have eased, political uncertainty could delay this for now.

Meanwhile, the busiest part of the US corporate earnings season is approaching, with large market capitalization companies such as Microsoft, Apple, Alphabet, Amazon and Meta Platforms all reporting results this week. Although the profits of the “Big Seven,” a group of companies with huge market capitalizations whose stocks lead the stock indexes, are shrinking compared to the rest of the index, these companies are still expected to report better results during this period.

Source: https://vtv.vn/chung-khoan-nhat-ban-lap-ky-luc-100251027142007627.htm