FXstreet.com (Barcelona) - Asian markets are going through gain s on Monday on increasing risk appetite after a weaker than expected U.S. employment data assured low interest rates for an extended period. Euro and Pound have rallied to multi-week highs.
Japanese Nikkei Index edged up 0.4%, while Hong Kong's Hang Seng Index rose 1.1%. Markets in South Korea, Australia, Singapore and Taiwan have also advanced, while Chinese Shagai Composite Index has been the only negative one in the region.
Firday's weaker than expected U.S. employment data has supported stock markets as the difficulty on U.S. recovery has been observed as a reassurance that the Fed will maintain interest rates at all-time low 0.25% for quite a while, which will dampen demand for U.S. Dollars and support liquidity.
Euro and Pound rise to multi-week highs
EUR/USD rebound from Nov 2 low at 1.4625 has extended in Asian session as the Euro rallied from levels above 1.4850 to break resistance level at 1.4915 and hit a fresh 2-week high at 1.4945.
GBP/USD rally from Nov 3 low at 1.6260 has extended during Asian session, with the Pound breaking past resistance level at 1.6745 to hit a fresh 3-month high at 1.6765.
USD/JPY decline from 90.75 found support on Friday at 89.60 low, and the pair picked up slightly during Asian session to consolidate at levels between 90,00 and 90.25.