Asian shares grow on positive economic data from US

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Asian shares grow on positive economic data from US

June 04, 2018 - 09:45
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On Monday Asian shares grew to the highest level in two and a half weeks as strong employment data from the US had more influence on the market than concern over trade war between the US and the rest of the world, Reuters reports.

Photo © Markus Spiske, CC0 1.0

On Monday Asian shares grew to the highest level in two and a half weeks as strong employment data from the US had more influence on the market than concern over trade war between the US and the rest of the world, Reuters reports.

Asia-Pacific index MSCI outside Japan went up by 1%, while Japan’s Nikkei increased by 1,3%.

Shares of IT-giants, including Tencent and Taiwan Semiconductor Manufacturing, were among leaders.

On Friday US IT-companies showed high growth. Nasdaq Composite gained 1,51% to 7554, and almost reached its record level of 7588 that was shown in March.

On contrast, S&P 500 index rose on Friday by 1,08% and still has to grow 140 point more to its peak level in January.

Finance leaders of closest US trading partners expressed their anger in regards to new tariffs. It allows forecasting quite hot summer meeting of G7 in Quebec. Concern over trade disputes will continue putting pressure on markets, experts think.

Data published on Friday showed acceleration in employment growth in the US in May as well as further decline in unemployment level to 3,8%, the lowest in 18 years.

Increase in average hourly wage last month was 0,3%, while in April it was 0,1%. It makes yearly gain at 2,7%.

Employment report became one more positive news about US economy after data on consumer spending, industrial production and construction. All of them indicate that economy growth accelerates in second quarter.