Soft manufacturing survey results had also raised optimism that central banks had stopped tightening, but that might alter depending on the information that Federal Reserve Chairman Jerome Powell provides at the annual meeting of central banks on Friday in Jackson Hole, Wyoming.
“As flash PMI data for August indicated weaker economic activity in the U.S., equity prices rose and bond yields declined,”
The results of the soft manufacturing survey had also increased confidence that central banks had ceased tightening, but that might change depending on the information that Federal Reserve Chairman Jerome Powell presents at the annual conference of central banks on Friday in Jackson Hole, Wyoming.
“Equity prices increased and bond yields decreased as flash PMI data for August indicated weaker economic activity in the U.S.,”
However, due to the weakening of the yuan and Chinese economy as well as some unfavourable manufacturing data from Japan, which have caused confidence to be shaky, the index is down 8.1% so far this month.
While the Nikkei stock index of Japan increased 0.23%, Australian stocks grew by 0.27%.
Early trading saw the blue-chip CSI300 index in China rise by 0.51%. The Hang Seng index in Hong Kong opened 0.8% higher.
The shares of Nvidia increased by about 10% in trading after the bell on Wednesday, reaching an all-time high after it anticipated third-quarter revenue that was far higher than Wall Street expectations. As a result, U.S. stocks closed the day considerably higher overall.
The yield on benchmark 10-year Treasury notes in the United States fell from close to 16-year highs on Wednesday as a result of dismal business activity data from the United States and the euro zone, reaching 4.1879% as opposed to its U.S. close of 4.198%.
The two-year yield reached 4.971% compared to a U.S. finish of 4.952%. It rises as speculators anticipate higher Fed fund rates.
The dollar index fell 0.03% in early Asian activity on the currency markets after reaching a two-month high.
In response to comments by a former BOJ official that Japan will only intervene in the market if the yen falls past 150 to the dollar, the yen recovered to 144.66 after touching a nine-month low of 145.34.
American crude fell 0.3% to $78.65 a barrel. Brent crude decreased to a price of $83.01.