Stocks recovered ground on Friday despite concerns about economic growth amid rising COVID-19 cases, which continued to take its toll on oil prices.
Singapore stocks rose 0.7 percent after the country’s aviation regulator said it would allow quarantine-free entry from next month to travellers from certain nations.
South Korea’s stock benchmark hit its lowest since March-end and posted its worst weekly decline in nearly seven months.
The country has extended social distancing curbs for two weeks to ward off a surge in coronavirus cases.
The Philippine stock benchmark snapped a four-day winning streak, even as the peso strengthened 0.4 percent.
Malaysian stock and currency markets were subdued as investors awaited the king’s appointment of a new prime minister following a meeting with other royal rulers later in the day.
The Dow Jones Industrial Average ended up 0.65 percent, while the S&P 500 gained 0.81 percent and the Nasdaq Composite added 1.19 percent. However, all three indices ended with weekly losses following a steep mid-week sell-off after Federal Reserve meeting minutes underlined the US central bank’s plans to pare back stimulus by year’s end.
The MSCI world equity index, which tracks shares in 45 nations, rose 0.43 percent.
“We are seeing a relief rally in European and US assets today,” said Phil Guarco, global investment specialist at J.P. Morgan Private Bank.
The Fed is likely to dominate the economic conversation next week as well with an annual meeting of central bankers at Jackson Hole, Wyoming. Markets will be watching for any clearer indication on plans for a Fed taper of monthly bond purchases, which minutes showed officials believed would happen this year if the economy recovers as expected. Fed Chairman Jerome Powell will deliver remarks on the economic outlook next Friday.
