Asian stocks are keeping a close eye on the US inflation test results, due this week. The US inflation tests can determine the country’s interest rates, which could affect investors globally. The Asian stocks remained steady while the New Zealand dollar fell a few steps. Moreover, the Central Bank of New Zealand kept a steady cash rate of 5.5%. However, they assured a less aggressive stance on future hikes. This also means that high-interest rates helped the country deal with high inflation. The last price of the Kiwi dollar was around $0.61235, recording a .75% downfall in rates.
The rest of the Asian market and the market down under remained normal. The Yen has also remained stuck at 150 yen per dollar; the last rate was 150.43 yen per dollar. Hong Kong’s Hang Seng index was down 0.31%, while China saw some mixed reactions. However, China’s blue-chip index increased around 0.46%
Additionally, the US feds are also looking to include a second estimate into the mix, the Gross Domestic Product estimate, along with employment numbers and unemployment rate, to decide the interest rates in the country. Due to high US inflation, gold and silver rates were affected as well. However, the US feds have shown little interest in lowering the interest rates. Michelle Bowman, the governor of the Federal Reserve, said on Tuesday that she was in ‘no rush’ to cut US interest rates.
