Most Asian Markets Up On Rate Hopes But China Fear Casts Shadow

Most Asian markets rose Monday after a surge on Wall Street fuelled by hopes the Federal Reserve could slow its pace of interest rate hikes. However, bright start to the week was overshadowed by a plunge in Hong Kong and Shanghai after Xi Jinping was handed a third term as leader and put in place a team who back his economically damaging zero-Covid strategy. Markets reacted badly to Xi Jinping’s decision to pack his leadership team with loyalists who back him. The yen fluctuated against the dollar as speculation swirled that Japanese authorities had stepped into forex markets again to support their currency for a second time in as many sessions. Tokyo, Sydney, Seoul and Taipei led gains after a strong performance in New York that some officials said some officials were keen to meet a slowdown when they met next month. . . .