Asian stock market remained highly optimistic, as market has been chattering about a pause in the Fed monetary policy. If the Fed is done with hiking its policy and start a tightening after its policy meeting, later on Wednesday, the 19th of December, a global stock rally would take place.
None the less, the crude oil woes had been boosting the bond prices. On Wednesday’s, December 19th, early trade, the Asia pacific shares outside Japan had managed to gain 0.2% on the wishful though of a dovish Fed.
The Nikkei 225 fell slightly losing about 0.1 percent, while the E-mini futures for S&P 500 gained 0.17%. Yesterday’s show had been stolen by the oil mostly, as a record US crude production and inventory rise had jolted the US crude price below $46.50.
While this report is being prepared, the US crude was last changing hands at $46.40 per barrel, its lowest level since the August 2017. Investors remained cautiously optimistic over the global-scale stock price rally after FED policy meeting, as US president Donald Trump warned the Central Bank not to make another mistake regarding the monetary policy, as his disguise over a hawkish rate is widely known.
Last week, Trump had also labelled FED chair Jerome Powell, “foolish”, due to his highly aggressive monetary policy and FED’s recent comments also signaled a possible pause in the interest rate, as Jerome Powel had been quoted saying last week, that the inflation data was closer to the central bank target (2.0 percent).