Monthly Archives: June 2016

Several markets in Asia benefit highly from the unchanged interest rates of the US Federal Reserve.

The Australian S&P/AS 200 index had opened up by 0.5% and continued to rise in morning trade, up 0.73% to 5,184.5 points.

And in New Zealand, the benchmark S&P/NZX 50 index spent much of its morning session in positive territory.

The index was later up 0.35% to 6,893.58 points.

Investors there were also given a boost by positive economic growth numbers.

New Zealand posted faster-than-expected growth in the first quarter, up 2.8% from a year earlier.

Stocks in South Korea opened in positive territory but lost some ground later, with the benchmark Kospi index down 0.28% to 1,963.27.

The UK’s impending Brexit vote is what made the US Federal Reserve hold the interest rates for the meantime. According to Chair Janet Yellen, the decision on June 23 by Britons will have economic and financial consequences in the global financial markets.

Despite the hold on interests, it had detrimental effect in Japan and China.

China’s stocks are still in negative territory in early trade. Investors in Japan were waiting news from the Bank of Japan’s meeting, which finishes later. The benchmark Nikkei 225 index was down 1% to 15,756.53 in mid morning trade.

In China, Hong Kong’s Hang Seng index was down 1.18% to 20,226.42, while the Shanghai Composite was down 0.34% to 2,877.29.