FXstreet.com (Barcelona) - Asian markets have gone through gains on Thursday fuelled by upbeat U.S. data for the second consecutive day, as the improvement on U.S. industrial production boosted confidence across the board. The Dollar dipped to new lows.
Japanese Nikkei Index has risen 1%, supported by the Bank of Japan's affirmation that the country's economy is improving, after its monetary policy committee decided to keep interest rates at 0.1%. Hong Kong Hang Seng Index rose 1.8%, while Chinese Shangai composite Index advanced 1.5% and South Korean Kospi index added 0.4%.
Asian markets have followed Wall Street, which rose on Wednesday after the Federal Reserve said that Industrial production rose 0.8% in August, following a 1.0% advance on the previous month, Asian investors have celebrated the news, as an improvement on U.S. economy could translate into a rise on Asian exports such as cars or electronics.
Dollar digs to new lows
EUR/USD has reached a fresh year to date high, after bouncing on Tuesday at 1.4640, the Euro rose to levels around 1.4740 on early Asian session and subsequent pullback has been hold above 1.4700 to rise again, reaching 1.4745, the highest level since late September 2008.
GBP/USD is n0ot taking advantage of Dollar weakness, and the Pound remains capped bu resistance area at 1.6520/30. During Asian session tue Pound has been trading up and down between 1.6470 and 1.6530.
USD/JPY has been going through recovery after having hit a fres 7-month low on Wednesday at 90.12, and the Dollar has returned to levels above 91.00, taking back all the ground lost yesterday. At the moment, the Dollar remains consolidating between 91.00 and 91.25.