Asian stock prices rose on Friday, with the dollar against the yen hitting a new 34-year high after Japan’s central bank left monetary policy unchanged.
The MSCI index of Asia-Pacific shares, excluding Japanese shares, was up 0.8 percent at 7:00 am, making up for yesterday’s losses.
At the same time, on the Tokyo Stock Exchange, the Nikkei index strengthened by 1.1 percent, while share prices in Shanghai, South Korea and Hong Kong rose between 0.2 and 0.5 percent. In Australia, however, they fell by more than 1 percent.
After a two-day session, Japanese central bank leaders decided to leave the accommodative monetary policy unchanged.
As a result, the yen against the US dollar fell to new 34-year lows, while Japan’s Nikkei index rose significantly.
In Australia, however, stock prices fell after it was reported that producer prices rose more than in the previous quarter in the first quarter, meaning the Australian central bank could keep interest rates higher than expected.
Markets are supported by the growth of share prices in the technology sector, after last night Alphabet and Microsoft announced better-than-expected quarterly business results.
The price of Alphabet’s shares rose in extended trading, after the close of Wall Street, by 11 percent, and Microsoft by 4 percent.
Thanks to this, the Nasdaq futures and the S&P 500 index are currently up by about 1 percent, so after yesterday’s decline, stock prices on Wall Street could rise on Friday.
Dollar weakened, oil prices rose
On the currency markets, however, the value of the dollar against the basket of currencies fell slightly.
The dollar index, which shows the value of the American dollar in relation to the other six most important world currencies, is moving around 105.68 points this morning, while yesterday at this time it was 105.75 points.
At the same time, the exchange rate of the dollar against the Japanese currency rose from yesterday’s 155.55 to 156.10 yen.
With the dollar hovering at its highest level in 34 years, Japanese authorities are warning that they may intervene to prevent further weakening of the yen.
The American currency also weakened compared to the European one, so the price of the euro reached $1.0725, while yesterday at this time it was $1.0705.
Oil prices, on the other hand, rose. The price of a barrel on the London market strengthened this morning by 0.39 percent, to 89.35 dollars, while on the American market, the price of a barrel increased by 0.35 percent, to 83.85 dollars, Hina reports.
