CM: Asian markets extend rally as optimism improves; Euro picks up
FXstreet.com (Barcelona) - Asian markets have traded higher for third consecutive day as investors optimism improve,s with fears about Eurozone debt problems waning and focusing key non-farm payrolls report to measure the strength of US economic recovery. In Forex markets, the Euro has consolidated recent gains.
Japanese Nikkei Index has edged 0.1% up, the same as the Hong Kong Han Seng Index and the South Kotrean Kospi Index, while Australian ASX Index rose 0.4%.
Investor's confidence is picking up in the first days of December, driven by upbeat US data ans easing concerns about Eurozone debt troubles, the ECB contributed to calm markets yesterday with its commitment to provide liquidity to financial institutions. Today key Non-Farm payrolls data is expected to show improvement, for the second consecutive month, and boost confidence over US economic recovery.
Euro, consolidating gains
EUR/USD recovery from 2-month low at 1.2965 hit on Tuesday extended yesterday to levels above 1.3200, and the pair has remained consolidating above here, during Asian session, trading at 1.3235 day high ahead of the European session opening.
GBP/USD recovery from 1.5485 low on Tuesday was capped at 1.5650/65 area again on Thursday, and the pair dropped to 1.5510 low, to pick up during US and Asian sessions, reaching levels right below the mentioned 1.5650/65 area ahead of the European session.
USD/JPY has been trading choppy between 83.35 and 84.40 during the last three days. The Dollar tested resistance at 84.40 area yesterday and unable to break higher, the pair dropped below 84.00 to trade around 83.50 ahead of the European opening.