Sale of high-risk assets came after it was reported that the intermittent ballistic missile test of North Korea was successful. As a result, safe haven assets went up.
The optimism winds continued in the markets with the positive economic expectations announced in the US. It strengthened the yen as the gold rallied for the first time in four days. In Europe, telecoms and technology shares were tense as they lost their heads. Oil price fell after OPEC’s production boost.
Although the US was closed because of the July 4 Independence Day, markets were restless. North Korea’s missile test caused the geopolitical tension to increase, and speculation in Hong Kong has brought a new sales wave to the markets. On the other hand, a mistake in Nasdaq Inc.’s data system has led to a miscalculation in the stocks of the world’s largest technology companies opened.
The yen rallied after the sharp drop of 0.9 percent on Monday, and rose 0.5 percent after North Korea’s missile test. The Australian dollar lost 0.9 percent, wiping its early gains.
Hong Kong’s Hang Seng Index dropped 1.5 percent, and Galaxy Entertainment Group and Tencent Holdings were among the most losing companies.
In Australia, the S & P / ASX 200 Index had the biggest jump since the November 10, 1.8 percent and banks shares rose 2.2 percent.
When we look at the currencies, we see that the yen rose 0.1% against the dollar and reached the level of 113.23. The currency experienced a sharp decline of 0.9 percent on Monday.
The Bloomberg Dollar Spot Index rose 0.1 percent after a 0.5 percent jump on the previous session. The dollar rallied two-week highs on Monday after reports showed factories in the US were making the fastest 3-year gains in June. The euro weakened 0.2% against the dollar and traded at 1.1345.
The Stoxx Europe 600 Index fell 0.1 percent, with monopoly communications being the most losers. The S & P 500 Index rose by 02 percent on Monday.
West Texas Oil (WTI) fell 46.93 dollars per barrel with a 0.3 percent decline while the gold price increased to $ 1.224.15 per ounce, up 0.3 percent after falling 1.7 percent on Monday due to a rise in the dollar.
10-year Treasury yields in the US rose by 5 basis points to 2.35% on Monday after a 16-basis point decline in the past week. In the UK, the interest rate for 10 years fell to 1.24 percent with 1 base point decrease.