SYDNEY (Reuters) – Asian shares found some footing on Friday after a turbulent week as China hinted at more support for its economy, amid growing expectations of aggressive stimulus from all the major central banks.
FILE PHOTO: An investor looks at an electronic board showing stock information at a brokerage house in Shanghai, China September 7, 2018. REUTERS/Aly Song
Sentiment got a lift when China’s state planner said Beijing would roll out a plan to boost disposable income, though details were lacking.
A bounce in U.S. and European stock futures also helped, with E-Minis for the S&P 500 up 0.55% and the EUROSTOXX 50 rising 0.5%.
MSCI’s broadest index of Asia-Pacific shares outside Japan responded by edging up 0.2%, though it was still down 1% for the week.
Japan’s Nikkei recouped early losses to be 0.09% firmer, while Shanghai blue chips rose 0.7%.
The Sino-U.S. trade dispute remained a drag after Beijing on Thursday vowed to counter the latest tariffs on $300 billion of Chinese goods.
U.S. President Donald Trump said on Thursday he believed China wanted to make a deal and that the dispute would be fairly short, despite it already lasting more than a year.
With no settlement in sight, investors have hedged against a global slowdown by buying bonds. Yields on 30-year debt hit an all-time low of 1.916% to be down 27 basis points for the week, the sharpest such decline since mid-2012.
That meant investors were willing to lend the government money for three decades for less than the overnight rate.
Such is the gloom that