Asian shares affected by expectations of coronovirus vaccine

SYDNEY (Reuters) – Asian stocks expected renewed coronovirus vaccine on Monday after AstraZeneca resumed its Phase-3 trial, although sentiment still remains one of the central meetings in the UK, Japan and the United States Was cautious ahead of the big week.

FILE PHOTO: A man using his mobile phone is locked up against a stock quotation board outside a brokerage firm in Tokyo on February 21, 2006. REUTERS / Toru Hanai

A signal positive mood will spread elsewhere, pan-region euro stokes 50 futures STXEc1 And german dax futures FDXc1 In early trade it rose 0.5% while London’s FTSE futures were Ffic1 Added 0.24%.

US stock futures, S&P 500 e-minis Esc1, Jumped 1.3% after a mixed session on Wall Street last week.

Most of Asia’s major markets were green with MSCI’s broad index of Asia-Pacific shares outside Japan. .MIAPJ0000PUS 0.9% increase for its second straight session of profit.

Australian share .AXJO Japan’s Nikkei climbed 0.6% while .N225 Added 0.7%. Chinese stocks started strong but surpassed some of the early gains with the blue-chip index .CSI300 Previous 0.1%

Friday marked six months after the World Health Organization (WHO) declared coronavirus an epidemic.

Since then, major global economies have slipped into recession and millions have lost their jobs, prompting central banks around the world to launch unprecedented stimulus.

Niti bazooka boosts financial markets with S & P500 .SPX 22%, 10-year Treasury has 20.4 basis points and greenback diving = USD Sliding 3.3%. The best performing major currency so far has been the Australian dollar AUD = D3, 11.9%, thanks to the sound risk appetite.

“A truly wild ride and Phase 3 vaccine results are likely to continue in the coming weeks,” NAB analyst Tapas Strickland said in a note on Monday.

AstraZeneca AZN.L At the end of the week, it has resumed British clinical trials of its COVID-19 vaccine, the most advanced in development after receiving a green light from the security guard.

Late-stage trials of the experimental vaccine, developed with researchers at the University of Oxford, were suspended last week following illness in a study subject in the UK, expressing suspicion of an early rollout.

A vaccine has long been awaited to help get the world out of a coronovirus-induced lockdown.

BCA Research wrote in a note, “The long trade of 14 high-flying ‘basket to work’ stocks versus 14 high-flying ‘COVID-19 Winners’ baskets is being recommended to reopen the global economy.”

“While we maintain a cyclical and secular bullish outlook on the broader market, short-term reform is likely to be on the cards for technical and (geo) political reasons,” it said

“A playable short-term pullback is in order.”

Later this week, the US Federal Reserve will hold its two-day policy meeting, where it is expected to hold rates stating the previously announced change to target the rate of inflation.

In addition, “the Fed is determined to be less pre-emptive in the tightening policy than in the past,” NAB’s Strickland said.

The Bank of Japan and the Bank of England will announce their respective policy decisions on Thursday.

The market’s focus will also be on the election of the new Prime Minister of Japan, with the expected party room vote results around 0630 GMT.

The major currencies were flowing water on Monday.

The dollar was weaker against the yen at 106.06 JPY = However this year of 101.2 is a long distance from its low.

The euro Euro = Was flat at $ 1.1850. Australian AUD = D3 Was slightly weaker at $ 0.7283 while sterling was higher at $ 1.2823.

In commodities, US crude CLc1 Jumped 0.6% to $ 37.55 per barrel. Crude oil LCOc1 Climbed 0.4% to $ 40 per barrel.

Gold was strong with spot prices XAU = $ 1,946.9 per ounce.

Swati Pandey’s report; Editing by Sam Holmes