Let’s explore the reason for surging Stocks on Asian Markets.
This is a catch up rally for Asian Markets Indices since US markets are hitting all time highs.
Good economical data has made investors to overlook the surging corona cases worldwide.
Slowly the world is again restricting economical activities to fight against corona cases, a risk for global equities.
Asian markets are trading with green biased this morning. (7:18 A.M)
SGX Nifty is in green note this morning. (7:18 A.M.)
Why Asian Markets are surging?
Most of Asian markets are underperformers compared to developed markets like U.S. markets. This is one of the reason for rising Asian markets indices this morning. Basically this is a catch up rally and we believe this will continue in near future. Best trade is to remain a buyer and wait for any dip.
US markets are surging because of positive economical data, reopening economies and high liquidity due to lot of packages announced both by Governments & central banks.
Rising corona cases are the key risk for the present environment and markets can stall rise in case the cases keep on rising.