Stocks rally wobbles as Fed hike draws near

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Asian stock markets wobbled higher as hopes waned that the U.S. Federal Reserve might take a less aggressive approach on rate hikes, while wheat leapt on Russia’s withdrawal from a pact allowing Ukrainian grain to transit the Black Sea. | Reuters

“Things had gotten too pessimistic,” said Jun Bei Liu a portfolio manager at Tribeca Investment Partners in Sydney, of recent gains. Heavy drops in U.S. tech giants perhaps signal enough bad news is now already in the price, she said.

Chicago wheat futures leapt more than 8 percent to a two-week high of $8.93 a bushel in early trade, before settling back to $8.75, after Russia’s withdrawal from a deal to allow Ukrainian grain shipments to reach global buyers. The resignation of the chair of Beijing-based property developer Longfor Group also unnerved investors, with shares dropping 20 percent in Hong Kong and the sector under pressure.

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Asia stocks creep higher on hopes Fed will tone down hikesAsian stock markets climbed cautiously on Monday amid hopes that the Federal Reserve might sound less aggressive about rate hikes this week, while wheat prices leapt after Russia withdrew from a pact allowing Ukrainian grain to transit the Black Sea.
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