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INCHING HIGHER

EQUITIES

Markets have shifted to a risk-on posture with the US dollar on the backfoot against most G10 currencies, alongside gains for Asian stocks and European equity futures.

  • Australian stocks have outperformed in Asia hours, with the ASX 200 up 1.8% on the day.
  • The Korean Kospi and Philippine benchmark indices have also seen decent gains of 1.5%.
  • The Shanghai Composite has inched up ~1%, while the Nikkei has traded a touch weaker.
  • Following a fresh escalation in the US-China confrontation, media tycoon Jimmy Lai has been arrested in Hong Kong under the contentious security law. Lai has been accused of 'collaborating with foreign forces'.
  • With the latest round of major central bank policy meetings in the rearview mirror, focus shifts to the incoming data flow, Covid second wave risks and the expected review of the US-China trade pact.

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