FXstreet.com (Barcelona) - Asian markets have advanced for the third consecutive day, following Wall Street, which reached its highest level so far this year, with investors' confidence at high levels, fuelled by the outlook of low interest rates. The Pound has pulled back from 3-month highs while the Euro remains at high levels.
Japanese Nikkei Index rose 0.7%, while Hong Kong's Hang Seng Index added 0.9% and South Korean Kospi Index rose 0.4%. Markets in Australia, Taiwan and Indonesia.
The Dow Jones Index rose 2% on Monday to close at its highest level since October 2008. Besides G20's intention to maintain economic stimulus measures, together with a string of positive earnings reports by Japanese firms have contributed to improve investors' confidence.
Euro holds firm, Pound pulls down
EUR/USD rally from 1.4625 low on November 3 extended on Monday with a 170 pip rally that took the Euro to levels right above 1.5000, to hit a fresh 2-week high at 1.5020 before retreating to 1.4950 during Asian session. At the moment, the Euro trades at 1.4990.
GBP/USD extended its rally from 1.6260 low on November 3 to a fresh 3 month high at 1.6845 although a bearish correction took the pair down to 1.6600 low during Tuesday's Asian session. At the moment, the Pound is bouncing up, reaching levels around 1.6645.
USD/JPY rose on Monday's Asian session to 90.25 high where the pair was rejected, and pulled down to levels below 90.00 to remain trading, ever since, in a range roughly from 89.70 to 90.00.