The bill also includes money for other government functions through September
Asian equities were mostly higher on Monday as investors were cheering Trump’s decision to sign a $900-billion economic aid package. Trump signed the bill, which also includes money for other government functions through September, thus having prevented a shutdown. As such, MSCI’s broadest index of Asia-Pacific shares outside Japan rose 0.20%, while the Shanghai Composite Index in China closed marginally higher amid thin trading conditions, with Australian markets being closed.
In Europe, stocks opened higher, with US stock index futures pointing north after Trump averted a government shutdown late Sunday. Investors also react to Brexit developments. The trade deal between the U.K. and the EU now needs to be approved this week by U.K. lawmakers before the December 31 deadline. While the U.K. FTSE 100 index was closed on Monday for the Christmas holidays, France’s CAC 40 and Germany’s DAX rose 0.5% and 1.3%, respectively.
Meanwhile, the dollar came back under pressure to start the week as a risk-on tone prevailed due to the weekend developments. EURUSD climbed back above the 1.2200 handle and was challenging the 1.2230 area during the early hours in Europe. GBPUSD was slightly off May 2018 highs registered above the 1.3600 figure earlier this month.
Brent crude turned positive on the day after a modest retreat seen earlier in the day. As such, the prices have settled above the $51 figure while struggling to overcome the $51.60 local resistance. In the short term, oil prices could retain a bullish bias along with other risky assets in thin pre-holiday trading.
Elsewhere, bitcoin jumped to fresh all-time highs around $28,400 on Sunday and has retreated to the $27,000 handle since then. Despite the recent profit-taking, the leading digital asset remains on the offensive and looks poised for bullish extension after a pause.