SINGAPORE – Asia-Pacific shares set a higher start on Wednesday as investors watched the market respond to remarks by US Federal Reserve Chairman Jerome Powell on his decision to raise rates until inflation.
Futures point to a higher opening for Japanese stocks. In Chicago, the Nikkei futures contract was at 26,875 and in Osaka it was at 26,840. Which compares the Nikkei 225 to the last 26,659.75.
Australian stocks also appear ready to open higher, with the S&P / ASX 200 closing at 7,112.50, with the SPI futures contract at 7,181.
US Fed Chair Jerome Powell has said he will support raising interest rates until prices return to healthy levels. Earlier in May, the US Federal Reserve raised the rate by half a percentage point – its biggest increase in two decades – as it looks to fight inflation.
Overnight on the Wall Street, the S&P 500 jumped 2.02% to 4,088.85 while the tech-heavy Nasdaq Composite rose 2.76% to 11,984.52. The Dow Jones Industrial Average rose 431.17 points, or 1.34%, to 32,654.59.
The US dollar index, which tracks the greenback against a basket of its peers, was at 103.36 after a recent fall from the level above 104.
The Japanese yen traded at 129.45 per dollar, which was still above the 129 level against the greenback for most of the week. The Australian dollar changed hands at $ 0.7029, above the low of 70 0.70 at the start of the week.