Currencies

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Property

Spanish construction rebuilds after market collapse

Property developer Olivier Crambade founded Therus Invest in Madrid in 2004 to build offices and retail space. For five years business went quite well, and Therus developed and sold more than €300m of properties. Then Spain’s economy imploded, taking property with it, and Mr Crambade spent six years tending to Dhamma Energy, a solar energy […]

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Currencies

Euro suffers worst month against the pound since financial crisis

Political risks are still all the rage in the currency markets. The euro has suffered its worst slump against the pound since 2009 in November, as investors hone in on a series of looming battles between eurosceptic populists and establishment parties at the ballot box. The single currency has shed 4.5 per cent against sterling […]

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Banks

RBS falls 2% after failing BoE stress test

Royal Bank of Scotland shares have slipped 2 per cent in early trading this morning, after the state-controlled lender emerged as the biggest loser in the Bank of England’s latest round of annual stress tests. The lender has now given regulators a plan to bulk up its capital levels by cutting costs and selling assets, […]

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Currencies

China capital curbs reflect buyer’s remorse over market reforms

Last year the reformist head of China’s central bank convinced his Communist party bosses to give market forces a bigger say in setting the renminbi’s daily “reference rate” against the US dollar. In return, Zhou Xiaochuan assured his more conservative party colleagues that the redback would finally secure coveted recognition as an official reserve currency […]

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Categorized | Currencies

Japan stocks boosted by sliding yen, mild gains for other Asian markets


Posted on November 25, 2016

Equities markets around Asia are mostly higher on Friday in a session kept subdued by Wall Street taking a holiday overnight for Thanksgiving. The US dollar continues to climb, though, most notably pushing the yen to its weakest level in eight months.

Japan is still the standout story in Asia today. Continued strength in the US dollar is keeping the yen under pressure, with the Japanese currency breaking through the ¥‎113 mark yesterday and getting closer to weakening below ¥‎114 to the dollar on Friday.

That is helping exporters lead the Japanese stock market higher, with the Topix benchmark on track for an 11th straight day of gains.

But there was also some encouraging news for the economy, as Japan looked to be shaking off the spectre of deflation. Data showed headline consumer prices turned positive in October for the first time since February, while a measure of underlying inflation that strips out food and energy prices rose last month after registering zero growth in September.

In general, foreign exchange is where the fireworks has been this week, with the likes of China’s renminbi, India’s rupee, Malaysia’s ringgit and the Philippines peso all hitting multi-year lows against the US dollar.

Today, the yen is the worst-performer among Asian currencies, 0.4 per cent weaker at ¥‎113.72 per dollar. Next worst is the Malaysian ringgit, down 0.2 per cent, while the Australian dollar is the best performer, up by about one-third of 1 per cent today.

Japan’s benchmark Topix was up 0.7 per cent, while the Nikkei 225 gained 0.8 per cent. Australia’s S&P/ASX 200 was up 0.6 per cent, while Hong Kong’s Hang Seng added 0.3 per cent. China’s Shanghai Composite was down 0.4 per cent, and the technology-focused Shenzhen Composite shed 0.6 per cent.