SINGAPORE — Stocks in Asia-Pacific were slightly higher Wednesday morning after new remarks from U.S. President Donald Trump surrounding the new Covid-19 relief package.
Mainland Chinese stocks were higher in early trade, with the Shanghai composite up 0.3% while the Shenzhen component advanced 0.33%. Hong Kong’s Hang Seng index sat slightly above the flatline.
In Japan, the Nikkei 225 rose slightly while the Topix index was up 0.13%. South Korea’s Kospi advanced 0.23%.
Shares in Australia edged higher, with the S&P/ASX 200 gaining 0.63%.
MSCI’s broadest index of Asia-Pacific shares outside Japan traded 0.29% higher.
Trump on Tuesday said the $900 billion Covid relief bill passed by U.S. Congress was an unsuitable “disgrace.”
While the U.S. president did not threaten to veto the legislation, he asked to be sent a “suitable bill or else the next administration will have to deliver a Covid relief package.” The latest development could delay the deployment of funds to Americans who are struggling amid the coronavirus pandemic.
A new Covid strain in the U.K. has also been weighing on investor sentiment globally in recent days. It comes at a time when vaccines are starting to be rolled out and major economies around the world have seen a resurgence in daily coronavirus infections.
In the Bank of Japan’s October monetary policy meeting minutes released Wednesday, one member expressed concern that “deflation might take hold” if Covid-19 spreads again and pushes down economic activity, so this “possibly warranted attention” in guiding monetary policy.
Overnight on Wall Street, the S&P 500 saw a third straight session of losses as it declined 0.2% to 3,687.26. The Dow Jones Industrial Average slipped 200.94 points to close at 30,015.51. The Nasdaq Composite outperformed as it rose 0.5% to close at 12,807.92, a new record.
Currencies and oil
The U.S. dollar index, which tracks the greenback against a basket of its peers, was last at 90.549 following an earlier recovery from levels below 90.4.
The Japanese yen traded at 103.55 per dollar, still stronger than levels above 104 seen last week. The Australian dollar changed hands at $0.754, in a trading week that has seen it at levels around $0.76 to below $0.75.
Oil prices dipped in the morning of Asia trading hours, with international benchmark Brent crude futures down 1.5% to $49.33 per barrel. U.S. crude futures also declined 1.55% to $46.29 per barrel.
— CNBC’s Mike Calia and Maggie Fitzgerald contributed to this report.
Source: CNBC