2 days Ago By Reuters
By Wayne Cole SYDNEY (Reuters) - Asia stocks hit 27-month highs on Thursday as softer U.S. data narrowed the odds on a September rate cut there, boosting bonds and commodities while dragging on the dollar.
A holiday in the United States made for thin trading, as investors waited to see just how large a majority the Labour Party might get in the UK election. Markets are well prepared for a change given opinion polls have for months put the centre-left party on course for a landslide victory over the Conservatives. "The Labour party has relatively modest tax and spending plans, with the overall goal of shrinking the UK's large budget deficit," CBA analysts said.
"The Labour government's policies will also move the UK back towards closer alignment to the EU." Across the English Channel, polls suggested the National Rally (RN) would not win a majority of seats in Sunday's French election as mainstream parties moved to block the far right. FTSE futures nudged up 0.
1%, while sterling firmed to $1.2750. EUROSTOXX 50 futures were little changed.
MSCI's broadest index of Asia-Pacific shares outside Japan added 0.7% to its highest since April 2022. Japan's Nikkei rose 0.
4% and was within spitting distance of its March peak, while the broader Topix clinched all-time highs. S&P 500 futures and Nasdaq futures were steady after reaching another record overnight in the wake of soft economic data. [.
N] The U.S. ISM measure of services activity surprised by sliding to its lowest since mid-202.
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