Markets & Finance News

Round-up of South Korean financial markets: ** South Korean shares rebounded on Thursday as U.S. Federal Reserve Chair Jerome Powell's reaffirmation to keep interest rates low boosted risk appetite. Both the won and the benchmark bond yield rose. ** The benchmark KOSPI rallied 60.63 points, or 2.02%, to 3,055.61 by 0209 GMT; set for its best day in over three weeks and recovering from a 2.45% decline in the previous session. ** Chip giants Samsung Electronics and SK Hynix jumped 2.44% and 6.25%, respectively, while Naver and LG Chem added 0.80% and 1.51% each. ** In a second day of testimony in Washington, Powell reiterated the Fed's promise to get the U.S. economy back to full employment and to not worry about inflation unless prices rose in a persistent and troubling way. ** Back home, the Bank of Korea kept interest rates steady on Thursday, in a widely expected move, maintaining support for a fragile economic recovery. ** Markets are eyeing Governor Lee Ju-yeol's press conference where he may disclose the bank's plans on outright purchase of treasury bonds. ** Foreigners were net buyers of 295.3 billion won ($265.91 million) worth of shares on the main board. ** The trading volume during the session in the KOSPI index was 573.81 million shares. Of the 911 issues traded, 755 advanced. ** The won was quoted at 1,110.6 per dollar on the onshore settlement platform , 0.14% higher than its previous close at 1,112.2. ** In offshore trading, the won was quoted at 1,110.4, while in non-deliverable forward trading its one-month contract was quoted at 1,110.0. ** The most liquid 3-year Korean treasury bond yield rose by 1.0 basis points to 1.016%, while the benchmark 10-year yield rose by 3.5 basis points to 1.886%. ($1 = 1,110.5400 won) (Reporting by Joori Roh; Editing by Vinay Dwivedi)

The Australian and New Zealand dollars climbed to multi-year peaks on Thursday as a global rush into reflation plays swung commodity prices and bond yields sharply in their favour.

* Fed's Powell says may take over 3 years to hit inflation aim

* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E (New throughout)

New Zealand's central bank governor said on Thursday that inflation will need to sustainably be at its target midpoint range before any tightening of monetary conditions is considered.

* Fed's Powell says may take over 3 years to hit inflation aim

Turkey's lira tumbled again on Wednesday and has lost nearly half the year's gains this week alone, as the government again defended the record of former finance minister Berat Albayrak and speculation brewed over his possible return to cabinet.

* Graphic: World FX rates https://tmsnrt.rs/2RBWI5E (New throughout)

Inflation-adjusted government bond yields are rising and so is pressure on Fed and ECB policymakers to somehow tamp down the increase before it wrecks the economic recovery they have carefully nurtured with enormous amounts of money-printing.

The dollar struggled at multi-year lows against the Antipodean currencies and held near a one-month low versus the euro as reflation trades gripped the currency markets on Wednesday.