As the U.S. stock market closed higher the previous day despite the producer price index (PPI) reaching its highest level in five months, the Asian stock market, which followed, is also rallying in unison. In particular, Hong Kong’s Hang Seng Index is soaring more than 2%.
As of 2:30 p.m. on the 12th, Japan’s Nikkei is up 1.69%, Korea’s KOSPI is up 0.85%, Australia’s ASX is up 0.06%, Hong Kong’s Hang Seng Index is up 2.01%, and China’s Shanghai Composite Index is up 0.75%.
Hong Kong’s Hang Seng Index rose the most.
This seems to be due to the New York Times’ report that the Iranian leadership was surprised by Hamas’ surprise attack on Israel despite the PPI hitting its highest level in five months on the previous day.
On the previous day, the Dow rose 0.19%, the S&P 500 rose 0.43%, and the Nasdaq rose 0.71%, respectively.
The U.S. stock market seems to have risen in unison due to relief that the E-Palestinian conflict is unlikely to spread to the entire Middle East because Iran did not directly intervene in Hamas’ attack on Israel.
The market also ignored the PPI highest in five months. This is because the more important consumer price index (CPI) will be released on the 12th (local time). U.S. investors appear to have delayed their judgment on PPI until the CPI announcement.
The U.S. Department of Labor will announce last month’s CPI before opening on the 12th. The CPI is expected to be a short-term watershed for the U.S. stock market.
Meanwhile, in September 2023, exports to Taiwan fell 3.4% year-on-year to $38.81 billion, the Central News Agency and Yonhap News Agency (聯 Combined 報) reported on the 12th.
Citing September trade statistics released by Taiwan’s Ministry of Finance the previous day, the media pointed out that monthly exports increased in 13 months.
The market’s expected median is a 3.0% decline, but it actually exceeded it significantly. July was down 17.3 percent.
