FXstreet.com (Barcelona) - Asian stock markets have posted gains on Friday's session on hopes of massive stimulus measures in the U.S. aimed to soften the consequences of the deep economic slowdown.
Although it has yet to be approved by lawmakers, markets are already celebrating a plan which will provide $920 billion, part of which will be aimed to tax cuts. The European Central Bank, left rates unchanged at 2.0% yesterday, although Trichet advanced the possibility of a considerable cut in March.
Markets have set their attention upon government actions to mitigate the effects of an economic crisis which, by all accounts, seems to be a long and a deep one, while tuning out to the massive torrent of bad macroeconomic data seen in the last days.
Tokyo Nikkei index has risen 1.2% on Friday while Hong Kong's Hang Seng Index has gained 1.4% and South Korea's Kospi Index rose other 1.4%.
Currencies little changed except the Sterling
The Euro Dollar has been trading between 1.2545 and 1.28. The USD/JPY rallied yesterday in U.S session and is trading at the moment around 90.70 to 91.70, after having peaked at 92.26.
The Sterling continues rallying after the impulse taken yesterday on the back of an aggressive rate cut by the Bank of England. The GBP/USD bounced up from 1.4361 on Thursday to reach levels around 1.47.30 in late Asian session, focusing on resistance level at 1.50.