Asian Stock Markets Plunged, While AUD Soared Despite Falling Australian Inflation Rate
AUD soared, benefits, forex, trading, trade


Asian stock markets plunged on Wednesday on concerns about the spread of COVID-19 and resurgence of inflation.

The ASX 200 (+0.1%), was driven by gains in the technology sector as Microsoft posted better revenue gains.

The Nikkei 225 (-0.2%) recorded a decline in almost all sectors, especially the retail, insurance and banking sectors.

Hang Seng (-1.6%), and Shanghai Composite (-0.9%) declined despite another liquidity injection from PBoC.


WTI crude futures slipped back to $ 83.25 a barrel on Wednesday after US API storage data showed an increase last week.

Gold prices plunged below the $ 1,800 level due to a rebound in the US dollar.


The dollar index (DXY) hovered near the 93.87 level as investors awaited the policy outlook from the Fed for the next meeting.

The AUD soared after investors digested the latest inflation report in Australia. Although the annual inflation rate fell to 3.0% in the third quarter, however, the Trimmed mean core inflation measure used by the RBA rose faster than market forecasts.

The NZD strengthened amid continued inflationary pressures, as well as expectations of an RBNZ interest rate hike by 50 basis points remained in investor sentiment.

Meanwhile, the CAD eased following a drop in crude oil prices on Wednesday.