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GLOBAL MARKETS-Asian shares up on China gains but tech worries weigh

Published 04/20/2021, 10:06 AM
Updated 04/20/2021, 10:10 AM
© Reuters.
AUD/USD
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US500
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US10YT=X
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3690
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* Asian stock markets: https://tmsnrt.rs/2zpUAr4
* Global asset performance http://tmsnrt.rs/2yaDPgn
* World FX rates http://tmsnrt.rs/2egbfVh

By Alun John
HONG KONG, April 20 (Reuters) - Asian shares rose on
Tuesday, led by a stronger Chinese opening and shaking off the
initial drag from tech-driven Wall Street losses, while the
dollar stayed at multiweek lows against other major currencies.
MSCI's broadest index of Asia-Pacific shares outside Japan
.MIAPJ0000PUS gained 0.2%, swinging into positive territory
after Chinese blue chips .CSI300 rose 0.13%. South Korea
.KS11 gained 0.4%.
Elsewhere, Japan's Nikkei .N225 dropped 1.84%, as the
country continues to grapple with a resurgence in COVID cases.
Australia .AXJO slipped 0.33%.
Hong Kong .HSI fell 0.11% although Chinese food delivery
giant Meituan's 3690.HK shares rose 1.59% after the company
said it had raised a huge $9.98 billion through an equity and
convertible bond sale. Earlier, major Wall Street indexes drew back from record
highs hit list week, with a big drag from Tesla Inc TSLA.O .
The electric-car maker slid 3.4% after a Tesla vehicle
believed to be operating without anyone in the driver's seat
crashed into a tree on Saturday north of Houston, killing two
occupants. "This morning in Asia looks like a continuation of what we
saw last night, where tech stocks got hit in the U.S.," said
Mick McCarthy, Chief Markets Strategist, CMC Markets.
McCarthy said that the falls in Japan were striking given
the yen strength caused by the falling dollar, which would
normally be supportive for Japanese stocks, adding he thought
this would change one way or the other later in the day.
The tech-heavy Nasdaq .IXIC was the biggest mover, falling
0.98%, while the Dow Jones Industrial Average .DJI declined
0.36%, and the S&P 500 .SPX 0.53%.
However, e-mini futures for the S&P 500 ESc1 rose 0.13%,
suggesting markets could bounce back later in the day.
In currency markets, the dollar continued its recent
weakness, falling further from six week lows it hit on Monday.
"In our view, USD can remain heavy this week as focus shifts
from U.S. economic outperformance to the improving global
economic outlook more broadly," wrote analysts at CBA in a
research note.
In Asian trade, the dollar dropped 0.08% against the yen,
while the Australian dollar AUD= gained 0.14% and the Euro
EUR gained 0.07% on the dollar respectively.
The yield on benchmark 10-year Treasury notes US10YT=RR
rose to 1.6029% compared with its U.S. close of 1.599%.
Oil prices continued to rise. U.S. crude CLc1 ticked up
0.19% to $63.50 a barrel, and Brent crude LCOc1 rose to $67.2
per barrel.


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World FX rates YTD http://tmsnrt.rs/2egbfVh
Global asset performance http://tmsnrt.rs/2yaDPgn
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(Editing by Sam Holmes)

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