Asia Surges After Surprise Interest Rate Hike

Korean Boy Push Up

Asia soared today after South Korea unexpectedly hiked its key interest rate to 2.25%, in a sign of confidence for Asia’s economic rebound. The Korean won hit a two-week high on the news:

China: +2.8% (CSI 300) 

South Korea: +1.4% (KOSPI)

Korea Won per US Dollar: 1,213.6

Asia: +1.9% (MSCI Asia Apex 50)

Japan: +0.5% (Nikkei 225)

 

European markets are rising, but with a far more muted rally than in Asia. The euro, nonetheless, has broken above $1.27 again.

London: +0.1% (FTSE 100)

Paris: +0.6% (CAC 40)

Frankfurt: +0.4% (DAX)

The Euro: $1.271 (+0.04%)

 

Gold is struggling to break above $1,200 yet the BDI suffered yet another ugly dive:

Gold: +0.25% ($1,199)

Oil: +0.3% (Light Sweet Crude $74.94)

Dollar Index: -0.1% (DXY 83.73)

Baltic Dry Index: -3.9% (BDI 1,940) 

 

U.S. futures are liking the news so far, pointing to a positive open. Today’s only major U.S. data point will be wholesale trade at 10 AM ET.

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