On Friday morning (19 December, 9:17 AM, GMT+7, Bangkok time), major indices in Asia Pacific increased as traders awaited the Bank of Japan’s policy decision.
Market expectations, as reflected by LSEG data, indicated an 86.4% likelihood that the central bank would raise its rate to 0.75%, a level not seen since 1995. An increase of this magnitude could bolster the yen against the U.S. dollar and help cap inflation, which has exceeded the central bank’s target for a consecutive 44 months.
In separate data released, Japan’s headline consumer inflation eased to 2.9% in November. The core inflation rate, which excludes volatile fresh food prices, remained steady at 3% compared to October’s, aligning with the consensus estimate from economists surveyed by Reuters.
Japan’s NIKKEI surged by 1.01% to 49,497.70. South Korea’s KOSPI rose by 0.39% to 4,010.05, and Australia’s ASX 200 grew by 0.40% to 8,622.80.
As for stocks in China, Shanghai’s SSEC advanced by 0.17% to 3,882.84. Shenzhen’s SZI expanded by 0.42% to 13,108.51, and Hong Kong’s HSI gained 0.39% to 25,598.02.
The U.S. stock markets edged up on Thursday as the Dow Jones Industrial Average (DJIA) climbed by 0.14% to 47,951.85. NASDAQ jumped by 1.38% to 23,006.36, and S&P 500 added 0.79% to 6,774.76. VIX dropped by 4.26% to 16.87.
As for commodities, oil prices settled higher on Thursday as traders weighed potential new U.S. sanctions on Russia and disruptions to Venezuelan crude shipments. U.S. President Donald Trump stated that negotiations aimed at resolving the conflict in Ukraine were “getting close to something” ahead of talks with Russian officials set for the weekend.
Bloomberg reported that Washington could impose additional sanctions on Russia’s energy sector if a peace agreement with Ukraine is not reached. Meanwhile, the White House has yet to finalize any decisions, according to Reuters. Brent crude settled up 14 cents, or 0.2%, at $59.82 per barrel, while U.S. West Texas Intermediate crude rose 21 cents, or 0.4%, to $56.15 per barrel.
This morning, Brent crude futures slid 18 cents, or 0.30%, to $59.64 per barrel, and the WTI dipped 16 cents, or 0.28%, to $55.99 per barrel.
Meanwhile, gold futures declined by 0.28% to $4,352.10 per Troy ounce.
