HONG KONG: Asian markets were mixed Monday but investors remain broadly upbeat after a strong US jobs report that eased concerns about the world’s top economy, while the pound edged up at the start of another crucial week in the Brexit saga.
The gains built on last week’s rally that was fuelled by optimistic tone from China and the United States on trade talks, with top White House economic adviser Larry Kudlow saying they had been “very productive” and “moving the ball in the right direction”.Confidence was given a boost by data from the Labor Department showing the US created 196,000 net new jobs last month, beating expectations, with moderate wage inflation easing pressure on the Federal Reserve to tighten monetary policy, reports AFP.
The upbeat figures — and hopes for the trade talks — have combined with a more dovish turn by central banks of late to support global markets, which have enjoyed a stellar start to the year after a painful end to 2018.
“Valuations are OK, global growth is expected to improve into the second half of the year, monetary and fiscal policy has become more supportive of markets and the trade war is receding,” Shane Oliver, investment strategist at AMP Capital Investors, told Bloomberg News.
This “should support decent gains for share markets through 2019 as a whole”.
All three main indexes on Wall Street ended on a high Friday.