Gold rose to a fresh all-time peak after a mild reading for producer price inflation kept alive hopes for Fed easing this year, though U.S. Treasury yields stuck close to five-month highs in the wake of hotter-than-expected consumer price data mid-week that forced a paring back of rate cut bets.
The landslide victory of the main opposition Democratic Party of Korea (DPK) in Wednesdays general elections is likely to dash many of the government s economic policy plans that require the National Assembly s approval for legislative revisions.
Korean stocks closed lower Thursday as investors sat on the sidelines ahead of the holiday this week while keeping a watchful eye on U.S. inflation trends. The local currency gained against the U.S. dollar.
Investors are amassing funds to jump into the local stock market ahead of the government s unveiling of the much-anticipated Corporate Value-up program, which is designed to tackle the decades-long Korea discount, according to the Korea Financial Investment Association, Sunday.
The government s plan to adopt the Corporate Value-up Program, announced on Jan. 24 to bolster the stagnating stock market, is drawing contrasting reactions from foreign investors and domestic retail investors. While foreign investors are amassing shares, retail investors are shifting their investments abroad after obtaining profits from the domestic market.