Asian Stocks Rise Following Janet Yellen Statement

  

 

Equityworld Futures, Tokyo - Stock asia rose in early trade Wednesday following Wall Street were able to record after the US central bank Governor Janet Yellen issued a statement regarding the interest rate. The dollar also rose in today's trading.

Citing Reuters, Wednesday (15/02/2017), the MSCI index of Asia Pacific outside Japan rose 0.3 percent this morning, to the highest level in 19 months. Japan's Nikkei index rose 1 percent and Australia's index gained 0.9 percent.

Strengthening Asian stock exchanges in the US follows. The Nasdaq Composite Index rose 0.32 percent to settle at 5782.57 level. While the Dow Jones Industrial Average gained 0.45 percent to close at 20504.41 levels, and the S & P 500 rose 0.40 percent at 2337.58.

Wall Street's gains after the Federal Reserve Governor Janet Yellen gives cues likely the Federal Reserve (the Fed) will raise interest rates next month.

According to Yellen, the increase in interest rates in March were already in accordance with the plan of the Federal Reserve monetary policy. If the increase is postponed then it will damage the monetary policy that has been designated.

Chief Analyst IG Melbourne Chris Weston explained, market players are really waiting for comments from Yellen. "If the comments are too long out would be very unwise for market players," he explained.

The statement of Yellen also encourage the strengthening of the US dollar against a basket of major world currencies. The US dollar rose against the Japanese yen and the Euro.

In yesterday's trading, Asian stocks also rose triggered speculation If the US central bank Governor Janet Yellen will deliver the possibility of further US rate hikes before the congress.


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