Asian Stocks Rise, Yen Falls to 40-Year Low
Asian stock markets rose on Tuesday (June 30th), buoyed by a rally in technology stocks. This increase put the region's benchmark index on track for its best quarterly gain in 17 years, while the Japanese yen weakened to a four-decade low against the US dollar.
Shares in Japan and South Korea rose, pushing the MSCI Asia Pacific Index up 0.5%. The region's index had already risen around 20% heading into the quarter's end. Positive sentiment came from Wall Street, after shares of chipmakers pushed the S&P 500 up 1.2% and the Nasdaq 100 surged higher on Monday.
Meanwhile, the Japanese yen weakened to around 161.93 per US dollar after briefly touching 161.98 in New York. This level is its weakest since 1986. The yen's weakness has raised market concerns about possible intervention by Japanese authorities, as a currency that is too weak can increase import costs and depress purchasing power.
Investors now await the US-Iran peace talks in Doha on Tuesday and the release of US employment data for June on Thursday. These two events are crucial because they could influence the direction of oil prices, inflation, and the Federal Reserve's interest rate policy. US crude oil is trading around US$70.15 per barrel, while gold is relatively stable at around US$4,015 per troy ounce.
Global stock gains are still largely supported by the technology sector, especially after selling pressure on AI stocks began to ease. However, the market remains cautious as a too-rapid rally could trigger valuation concerns. Meanwhile, the US Supreme Court's decision to temporarily maintain the position of Fed Chair Lisa Cook is seen as helping maintain the central bank's independence and the stability of the long-term interest rate outlook. (asd)*
Source: newsmaker.id
