Asian shares gain ahead of Yellen, shrug off Trump controversy

Asian shares gain ahead of Yellen, shrug off Trump controversy

Asian shares gain ahead of Yellen, shrug off Trump controversy

TOKYO (Reuters) – Asian stocks gained on Wednesday after Wall Street managed to withstand a new twist in the controversy over US President Donald Trump’s alleged relationship with Russia as investors consider comments from Federal Reserve Janet Yellen.

The broader MSCI index of Asian non-Japanese stocks was up 0.3%. The sensitive Japanese yen Nikkei slid 0.4 percent in gains in the yen, but the Japanese MSCI dollar index gained 0.5 percent.

European shares are expected to rise, with a distribution compared to gains of 0.3% in the German DAX and the FTSE in the UK, and a 0.2% increase in France’s CAC opening.

US stocks fell slightly after e-mails revealed that Trump’s eldest son was with a Russian lawyer for his father’s election campaign in 2016 against Hillary Clinton.

But at the close of the session, Wall Street shares had regained their losses.

“E-mails are pretty bad, but again, they do not look like a decisive test (for illegal behavior). I doubt that this alone will lead to a market risk,” said Hiroko Iwaki, Mizuho Securities.

American actions were helped in part, the Senate has announced a two-week deadline for its August vacation to allow more time to deal with a move that would repeal parts of Obamacare and continue other legislative priorities.

However, it was unclear whether Republicans in the United States Senate have the votes to approve the bill, or even what form it will eventually take.

On the other hand, the dollar failed to recover after the damage to the new form of alleged links of the Trump campaign with Russia.

The euro surpassed a 14-month record of $ 1.14895 in Asian trade.

The dollar also lost influence in the yen, which had been under renewed pressure following the bond purchase on Friday by the Bank of Japan, which revealed divergent monetary policies between the two countries.

The US motto fell 0.4 percent to 113.46 yen, after a four-month jump of 114,495 yen hit on Tuesday.

The Canadian dollar was at C $ 1.2907 per dollar, close to the January peak of $ 2860 CA Friday as investors were up on the likely rates of the Bank of Canada, its first adjustment since 2010 at the end of the day.
The measure will make Canada the first to follow the US Federal Reserve withdraw the monetary stimulus pouring into the world economy, the European Central Bank and the Bank of England have also been moving in this direction in the coming months.

The dollar index against a basket of six major currencies stood at 95.58, just above its nine-month high 95.47 threshold heard in June.

US Treasury yields remained below their recent highs, yielding a 10-year high of 2.352 percent against 2.398 percent on Friday, the highest level in nearly two months.

Before the testimony of Fed Chairman Yellen to Congress on the state of the United States economy starting at 1400 GMT, two colleagues cited low wages growth and inflation as reasons for quiet prudence for increases. Additional interest rates.

Fed Governor Lael Brainard adopted the plan to reduce the balance “soon,” but suggested that support for any future rate hikes will depend in part on how inflation builds.

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