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'Asian shares eked out gains and U.S. stock futures bounced back on Friday as hopes of more government spending around the globe outweighed concerns about rising coronavirus infections and worsening tensions between Washington and Beijing.
European shares were also expected to rise, with pan-European Euro Stoxx 50 futures, German DAX futures , Britain's FTSE futures all up 0.1-0.2%. U.S. stock futures rose 0.2%.
MSCI's broadest index of Asia-Pacific shares outside Japan advanced 0.4%, paring some of its 2% losses the previous day, while Nikkei slid 0.3% on concerns about rising virus infections in Tokyo.
In China, the CSI300 index climbed 0.25%, clawing back some of Thursday's 4.8% slide and shrugging off news that Washington is considering banning travel to the United States by all members of the Chinese Communist Party, which total more than 90 million.
Market watchers said investors are counting on U.S. policymakers to adopt more stimulus measures as the world's largest economy struggles to contain the epidemic, with some existing programmes to support businesses set to expire within weeks.
The U.S. Congress is set to begin debating such a package next week, as several states in the country's south and west implement fresh lockdown measures to curb the virus.
"You would think such sharp rises in infections would normally lead to fall in stock prices but at the moment, that was being offset by strong hopes for vaccines," said Tomo Kinoshita, global market strategist at Invesco in Tokyo.
"But we now see higher risk of a market correction, considering the improvement in hard economic data we have seen over the past couple of months is likely to halt," he said.
While retail sales for June released on Thursday beat market expectations, real-time measures of retail foot traffic and employee working hours and shifts have flatlined after steady growth since April.
The U.S. labour market remained in dire condition. There were 32 million people receiving unemployment checks under all programmes in the last week of June, down from the prior week but still the second-highest on record.
Markets rose last week after unexpectedly strong U.S. jobs data despite some American states reporting record new coronavirus infections.
MSCI's broadest index of Asia-Pacific shares outside Japan fell 1.3% and further away from a four-month top hit last week. Japan's Nikkei shed 2.2% and Chinese blue chips 0.9%.
All major Asian indexes were upbeat with Japan's Nikkei rising 0.1%, China's blue-chip index adding 1.7% while Hong Kong's Hang Seng index climbed 1.8%.
Asian shares posted gains on Monday and the euro rose to four-month highs, as EU leaders appeared to make some headway after three days of haggling on a plan to revive their economies, even as coronavirus cases increased in many countries.
The Reserve Bank of India (RBI), the country’s central bank, on Friday has kept key interest rates steady to subdue the unabatedly high inflation rate. However, the Monetary Policy Committee (MPC) of the central bank (CB) maintained the growth-oriented
London FTSE 100 rose 0.8% as crude prices gained while in Asia, MSCI's broadest index of Asia-Pacific shares outside Japan rose 0.78%.
Global trade, shipping business and supply chain industry will return to growth next year following positive news on the coronavirus vaccine that will help restore confidence in the economy, experts say.
The Indian-based firm Indus Net Technologies (INT) is keen to expand its operations across the Gulf region. We have been serving clients in the Middle East for over a decade. However, we will now look for a stronger presence in this market from 2021 onwards.